By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Sept. 12 (MarketsFarm) -The ICE Futures canola market was weaker at midday Tuesday, dropping below chart support as bearish technical signals weighed on values.
The move below C$760 per tonne in the nearby November contract encouraged additional speculative selling, with seasonal harvest pressure also weighing on values as weather conditions remain relatively favourable across most of the Prairies.
“If we close (below C$760 per tonne) we’ll certainly be looking at further downside action,” said an analyst.
The United States Department of Agriculture releases its monthly supply/demand estimates at 11:00 CDT with any surprises in the data likely to set the direction in the agricultural markets for the remainder of the session. Chicago soybeans and soyoil were both lower ahead of the report.
European rapeseed and Malaysian palm oil were also weaker in overnight activity.
About 24,700 canola contracts traded as of 10:25 CDT.
Prices in Canadian dollars per metric tonne at 10:25 CDT:
Canola Nov 756.30 dn 11.30
Jan 765.20 dn 10.90
Mar 771.50 dn 9.10
May 773.30 dn 9.10
