By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Dec. 13 (CNS Canada) – ICE Futures Canada canola contracts were weaker at midday Wednesday, posting losses for the fifth-straight session as bearish technical signals kept fund traders on the sell side.
Losses in Chicago Board of Trade soyoil and a firmer tone in the Canadian dollar contributed to the declines, as that combination cut into crush margins. Malaysian palm oil futures were also down in overnight activity, which weighed on vegetable oil markets in general.
The nearby January contract moved below the psychological C$500 per tonne level, but managed to find some support around C$497 per tonne.
Ideas that the market was starting to look oversold helped temper the declines. Advances in CBOT soybeans were also supportive.
About 13,700 canola contracts had traded as of 10:56 CST.