By Dave Sims, Commodity News Service Canada
WINNIPEG, May 11 – ICE Canada canola contracts were slightly lower in cautious trading Monday morning, as traders staked out positions ahead of the release of the USDA monthly crop report due out tomorrow.
The Canadian dollar was slightly stronger compared to its US counterpart which made canola less attractive on the international marketplace.
Soybeans were also mixed this morning with some weakness showing in the near-term contracts, which undermined the canola market.
Large world supplies of soybeans also were bearish for prices.
However, canola is testing key resistance on the price chart, said an analyst.
Farmers are reluctant sellers right now as they focus on fieldwork and seeding.
Malaysian palm oil, European rapeseed futures and soyoil were all firmer which lent support to the market.
About 2,400 canola contracts had traded as of 8:45 CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 8:45 CDT:
