By Phil Franz-Warkentin, Commodity News Service Canada
April 8, 2015
Winnipeg – Canola contracts on the ICE Futures Canada platform were lower at midday Wednesday, as losses in outside vegetable oil markets spilled over to put some pressure on values.
Bearish technical signals contributed to the declines, as the futures neared major nearby support. Light fund selling was a feature, but routine commercial demand on the other side provided some support.
The USDA releases its updated monthly supply/demand report on Thursday, and positioning ahead of the report was keeping some caution in the markets overall, said participants.
Farmer selling was also on the quiet side, as attention across the Prairies turns to spring field work.
The Canadian dollar was sharply stronger relative to its US counterpart in early activity, which did put some pressure on canola. However, the currency retreated as the day progressed, which provided some support.
About 7,000 canola contracts had traded as of 10:56 CDT.
Milling wheat, durum and barley were all untraded.
Prices in Canadian dollars per metric ton at 10:56 CDT:
