By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, July 21 – (MarketsFarm) – ICE Futures canola contracts were weaker at midday Thursday, slipping lower for the third straight session as relatively favourable Prairie crop conditions and losses in outside markets weighed on values.
Recent rains were generally seen as beneficial for crop development, although hail damage and excessive moisture in some areas were being watched.
Chicago soyoil, European rapeseed and Malaysian palm oil futures were all down on the day, with that general selling pressure spilling into canola as well.
Bearish chart signals contributed to the declines, with the November contract testing the psychological C$800 per tonne level. The next major support comes in at around C$770 per tonne, with C$750 a major target to the downside, according to an analyst.
About 13,000 canola contracts traded as of 10:39 CDT.
Prices in Canadian dollars per metric tonne at 10:39 CDT:
Canola Nov 801.10 dn 16.10
Jan 809.70 dn 15.80
Mar 816.80 dn 16.10
May 821.60 dn 16.50
