WINNIPEG – ICE Futures canola contracts were sharply weaker at midday Thursday, falling in sympathy with many outside markets.
News that the agreement allowing Ukrainian grain to ship through the Black Sea would be extended accounted for much of the selling pressure in the grains and oilseeds – including canola. Chicago soyoil, European rapeseed and Malaysian palm oil futures were all down on the day.
The nearby January contract lagged the more deferred months to the downside, with the widening spread seen as a sign of good nearby demand and a lack of significant farmer selling pressure. Canola crush margins remain wide, which should be keeping end users in the market on a scaled-down basis.
About 17,700 canola contracts traded as of 10:48 CST.
Prices in Canadian dollars per metric tonne at 10:48 CST:
Canola Jan 867.40 dn 15.00
Mar 851.90 dn 20.00
May 852.70 dn 20.40
Jul 854.90 dn 19.90
