By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, April 6 (CNS Canada) – ICE Futures Canada canola contracts were sharply weaker at midday Thursday, falling in sympathy with Chicago Board of Trade soyoil.
Speculators were said to be noted sellers. The underlying chart signals remain bearish which made Wednesday’s bounce higher a good selling opportunity.
A lack of significant end user buying interest added to the softer tone, as exporters and domestic crushers appear content to only buy on a scale-down basis.
The large South American soybean crop and expectations for big North American oilseed acres this spring also weighed on values.
However, concerns over tightening old crop supplies did provide some support. The possibility of seeding delays in Western Canada, due to excessive moisture in some areas, helped underpin the futures.
About 14,000 canola contracts had traded as of 11:00 CDT, with inter-month spreading a feature.
Milling wheat, durum, and barley futures were all untraded and unchanged.
