By Brandon Logan, Commodity News Service Canada
WINNIPEG, Feb. 5 – Canola contracts on the ICE Futures
Canada platform were weaker at 10:38 CST Wednesday, as trading
has been choppy most of the morning, participants said.
Recent downward pressure in canola prices were due to
spillover from the losses seen in CBOT soybeans, traders said.
Reports that Brazil will produce a record large soybean
crop and ideas that the Chinese will shift demand from US to
South America beans were also bearish.
Ongoing logistical issues moving Canada’s record large
canola crop out of Western Canada was also a sign of weakness.
However, brokers said that gains seen in CBOT soyoil and
weakness seen in the value of the Canadian dollar limited
losses.
Ideas that canola is still cheap in comparison with most
oilseeds were also bullish.
About 12,300 canola contracts had traded as of 10:38 CST.
Milling wheat, durum, and barley futures were all untraded
and unchanged after seeing some price revisions following
Tuesday’s close.
Prices in Canadian dollars per metric ton at 10:38 CST:
