By Jade Markus, Commodity News Service Canada
WINNIPEG, January 3 – ICE Canada canola contracts were weaker at midday on Tuesday, pressured by speculative long-liquidation.
“Without this technical fund-selling, long-liquidation, we’d be seeing either lower volumes or higher prices, but it is what it is,” said one Winnipeg-based trader.
Investors pushed the market higher overnight and prices moved to C$506.40 a tonne.
“And then it kind of failed,” he said. “We couldn’t keep it going and fell back here.”
He expects support around C$500 to C$501 a tonne to hold in the short-term.
A slightly firmer Canadian dollar added to the downside.
About 10,587 contracts had traded as of 10:41 CST.
Milling wheat, durum and barley futures were all untraded and unchanged.
Prices in Canadian dollars per metric tonne at 10:41 CST:
