By Glen Hallick, MarketsFarm
Glacier Farm Media MarketsFarm – Intercontinental Exchange canola futures weaker at midday Wednesday due to selloffs by the funds and farmers, according to an analyst.
Statistics Canada’s 900,00-tonne upward revision to the country’s canola crop on Monday remained a bearish feature overhanging the market, according to the analyst. He added that buyers were now backing away given the more comfortable supply situation. As well, he said farmers were no longer seeing any possibility of canola futures returning to their highs.
Additional pressure on the oilseed came from losses in comparable oils. Global crude oil prices were taking a significant hit, which weighed on vegetable oils. Along with the Chicago soy complex pulling lower, there were declines in European rapeseed and Malaysian palm oil.
The Canadian dollar was virtually unchanged at mid-Wednesday morning with the loonie at 73.65 U.S cents.
Approximately 37,200 canola contracts were traded as of 10:51 CST.
Prices in Canadian dollars per metric tonne at 10:51 CST:
Price Change Canola Jan 649.20 dn 16.40 Mar 657.80 dn 15.30 May 665.50 dn 15.00 Jul 671.40 dn 10.60
