By Terryn Shiells, Commodity News Service Canada
July 29, 2013
WINNIPEG – Canola contracts on the ICE Futures Canada platform were weaker Monday morning, following the losses seen in the Chicago soybean complex, analysts said.
Spillover pressure from the losses seen in Malaysian palm oil and European rapeseed futures overnight further weighed on values.
Forecasts calling for non-threatening weather across western Canadian canola growing regions added to the bearish tone.
The technical bias remains pointed to the downside, which sparked some chart-based selling that undermined canola values, traders said.
However, the need to keep a weather premium built into the market, as the growing season isn’t over yet, helped to limit the downside potential in canola.
Continued concerns about the tight Canadian canola supply situation also provided some underlying support for the market.
As of 8:40 CDT Monday, about 2,750 canola contracts had traded.
Milling wheat, barley and durum futures were untraded and unchanged.
Prices in Canadian dollars per metric ton at 8:40 CDT:
