By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Sept. 1 – ICE Canada canola contracts were weaker Tuesday morning, as losses in the Chicago soy complex and bearish technical signals weighed on prices.
Weak economic news out of China triggered a selloff in equity markets around the world on Tuesday, with crude oil also posting large losses. That bearish sentiment spilled into the grains and oilseeds, including canola.
Harvest pressure added to the softer tone in canola, as producers make deliveries for cash flow needs and end users have little reason to bid up the market at present.
However, weather concerns in some parts of Western Canada did help limit the losses. A softer tone in the Canadian dollar helped underpin the canola market as well, according to participants.
About 7,600 canola contracts had traded as of 8:46 CDT.
Milling wheat, durum, and barley futures were all untraded.
Prices in Canadian dollars per metric ton at 8:46 CDT:
