By Glen Hallick, MarketsFarm
WINNIPEG, Oct. 9 (MarketsFarm) – ICE Futures canola contracts were lower at midday Wednesday after pushing upward earlier in today’s session.
“We broke through overhead resistance in that C$450-C$455 on November. We been up seven straight days, so some correction would not be out of the ordinary,” commented a Winnipeg-based analyst.
He suggested there could some profit-taking today ahead of tomorrow’s World Agriculture Supply and Demand Estimates (WASDE) from the United States Department of Agriculture (USDA).
“The WASDE tomorrow could inject a new level of volatility into the market,” the analyst said.
A grim Prairie weather forecast was providing support for bids. The system that brought below zero temperatures along with snow and rain to Alberta and Saskatchewan yesterday entered Manitoba. The latter province is also expected to be hit by a Colorado Low bringing more precipitation, most likely snow.
With the cold front past Alberta and Saskatchewan, these provinces are forecast to receive warmer temperatures and drier conditions for the remainder of the week.
Approximately 23,100 canola contracts were traded as of 10:26 CDT.
Prices in Canadian dollars per metric tonne at 10:26 CDT:
Canola Nov 462.70 dn 2.10
Jan 470.90 dn 2.40
Mar 479.30 dn 2.50
May 486.40 dn 2.20