By Glen Hallick, MarketsFarm
WINNIPEG, March 9 (MarketsFarm) – Intercontinental Exchange (ICE) canola futures were falling back at midsession on Thursday, busting through the C$800 per tonne support level.
Pressure on the Canadian oilseed was coming from weakness in the Chicago soy complex and European rapeseed. However there was a good upswing in Malaysian palm oil. Global crude oil prices were modestly higher, which helped to stem further losses in most vegetable oils.
An analyst said the next support level for canola was C$780 per tonne but warned prices could fall as low as C$750. He suggested the funds were demonstrating their weight in the market.
That said, he remarked that cash bids of C$18 per bushel for canola, about C$794 per tonne, were still good.
The Canadian dollar edged up a little on Thursday with the loonie at 72.64 U.S. cents, compared to Wednesday’s close of 72.54.
Approximately 24,950 canola contracts were traded as of 10:28 CST.
Prices in Canadian dollars per metric tonne at 10:28 CST:
Price Change Canola May 786.90 dn 21.20 Jul 782.40 dn 22.00 Nov 758.60 dn 21.20 Jan 763.60 dn 21.10
