By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, May 19 – (MarketsFarm) – ICE Futures canola contracts were mixed at midday Thursday, with losses in the new crop months while the nearby July contract recovering from earlier declines to post small gains.
A worldwide move away from riskier assets accounted for some of the early selling pressure in canola, as investors booked profits on their long positions. Losses in Chicago Board of Trade soyoil and other vegetable oil markets also weighed on values.
However, soybeans were stronger which provided some support.
Tight old crop supplies and the uncertainty over new crop production also underpinned the canola market. Seeding remains delayed in the eastern Prairies, although the moisture situation has improved dramatically over the past year which should bode well for production once the crop gets in the ground.
About 9,500 canola contracts traded as of 10:42 CDT.
Prices in Canadian dollars per metric tonne at 10:43 CDT:
Price Change
Canola Jul 1,155.00 up 2.90
Nov 1,055.30 dn 13.80
Jan 1,058.50 dn 14.70
Mar 1,062.00 dn 12.00
