By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Feb. 8 (MarketsFarm) – The ICE Futures canola market was weaker Tuesday morning, taking some direction from outside vegetable oil markets.
Chicago Board of Trade soyoil futures were down sharply in early activity. Malaysian palm oil and European rapeseed futures were also lower.
Chart-based positioning contributed to the declines in canola, amid ideas the market was looking overpriced.
However, the tight old crop supply situation remained supportive. Statistics Canada reported that canola stocks as of Dec. 31 came in at 7.6 million tonnes. That was in line with pre-report expectations, but well off the 13.3 million tonnes on hand at the same time a year ago.
About 7,800 canola contracts had traded as of 8:40 CST.
Prices in Canadian dollars per metric ton at 8:40 CST:
Price Change
Canola Mar 1,021.10 dn 8.40
May 1,011.30 dn 7.10
Jul 985.60 dn 4.30
Nov 841.50 dn 4.70
