By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Sept. 20 (MarketsFarm) – The ICE Futures canola market was weaker at midday Monday, taking some direction from the Chicago Board of Trade soy complex.
Concerns over a default by Chinese real estate company Evergrande sparked broad weakness in global equity and energy markets on Monday that spilled into the grains and oilseeds, with that ‘risk-off’ sentiment leading to profit-taking in canola as well.
Soyoil futures fell to their lowest levels in three months, contributing to the declines in canola.
Seasonal harvest pressure was another bearish influence, although concerns over the size of the drought-stricken crop remained supportive.
Weakness in the Canadian dollar also helped temper the declines in canola.
About 8,000 canola contracts traded as of 10:47 CDT.
Prices in Canadian dollars per metric tonne at 10:47 CDT:
Canola Nov 866.40 dn 7.40
Jan 858.20 dn 8.10
Mar 846.50 dn 7.60
May 830.00 dn 7.40