WINNIPEG – ICE Futures canola contracts were weaker at midday Friday, seeing a continuation of the downtrend that weighed on prices for most of the past week.
The losses came despite gains in the Chicago soy complex and a softer tone in the Canadian dollar, which caused crush margins to widen.
“I don’t know what the problem is, we can’t get above water,” said a trader on the weakness in canola. He expected the market could eventually realign itself relative to the soy complex before the close and noted that the downside in the market should be limited.
Solid end user demand underneath the market provided some support, while farmer deliveries were showing signs of slowing down in the latest weekly data.
About 21,800 canola contracts traded as of 10:37 CST.
Prices in Canadian dollars per metric tonne at 10:37 CST:
Canola Jan 855.00 dn 6.70
Mar 845.90 dn 3.80
May 847.90 dn 3.20
Jul 851.70 dn 2.20
