By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Dec. 16 (MarketsFarm) – ICE Futures canola contracts were weaker at midday Friday, as losses in Chicago soyoil weighed on values and traders adjusted positions ahead of the weekend.
Declines in crude oil and general weakness in world equity markets accounted for some of the selling pressure that spilled into the canola market, according to participants. Overnight losses in Malaysian palm oil were also bearish, although that market recovered off its lows. European rapeseed also managed to turn the corner to post small gains on the day.
The Canadian dollar was slightly softer, trading near its weakest level of the past month, which provided some underlying support for canola.
Solid end user demand also remained supportive, with weekly canola exports of 278,500 tonnes during the week ended Dec. 11 up by 18 per cent from the previous week, according to Canadian Grain Commission data.
About 11,700 canola contracts traded as of 10:47 CST.
Prices in Canadian dollars per metric tonne at 10:47 CST:
Canola Jan 859.80 dn 8.20
Mar 853.70 dn 5.00
May 848.10 dn 4.30
Jul 841.30 dn 4.30
