By Jade Markus, Commodity News Service Canada
WINNIPEG, March 29 – ICE Canada canola contracts were weaker in low-volume trade on Wednesday.
The active front contracts declined with pressure from outside oilseed markets. Chicago Board of Trade soy oil was also weaker by midday on Wednesday.
The US oilseed complex is saddled with a bearish supply situation, amid high stocks and the expectation for strong production this year.
Although the outlook for canola is slightly more supportive, that market is pushing Canadian prices lower.
Canola’s technical bias is to the downside, analysts say, which also had a bearish effect on values.
The Canadian dollar was mostly unchanged against its US counterpart on Wednesday, which did little to negate the negative factors facing canola.
Ideas that the market is still oversold limited the downside, and could underpin values moving forward.
About 11,367 contracts had traded as of 10:40 a.m. CDT.
Milling wheat, durum and barley futures were all untraded and unchanged.
