By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, July 30 (MarketsFarm) – The ICE Futures canola market was weaker Friday morning, continuing the downtrend of the past week as investors liquidated long positions.
A move below the 20-day moving average in the nearby November contract was bearish from a chart-standpoint, contributing to the declines.
Losses in the Chicago Board of Trade soy complex and early strength in the Canadian dollar also weighed on values.
However, persistent drought concerns across the Prairies remained supportive, with the nearby forecasts calling for continued heat and dryness.
Positioning ahead of the Terry Fox long weekend could lead to some choppiness during the session. The canola market will be closed Monday, Aug. 2, while markets in the United States will trade their usual hours.
About 5,000 canola contracts had traded as of 8:40 CDT.
Prices in Canadian dollars per metric ton at 8:40 CDT:
Canola Nov 855.00 dn 23.70
Jan 845.20 dn 20.00
Mar 832.90 dn 17.90
May 812.50 dn 18.90