By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Jan. 5 (MarketsFarm) – ICE Futures canola contracts were posting small losses at midday Thursday, taking some direction from Chicago soyoil although activity was thin and choppy.
“The market is heavily focused on Argentina right now,” said a trader, noting that forecasts for rain in the South American country were weighing on soybeans and spilling into canola.
Losses in Malaysian palm oil also weighed on the canola market, although European rapeseed was mixed and crude oil turned higher.
The Canadian dollar was softer at midday, providing some underlying support for canola. Solid demand from both domestic crushers and exporters also helped temper any declines, with canola remaining in its sideways trading range from a chart standpoint.
About 13,200 canola contracts traded as of 10:38 CST.
Prices in Canadian dollars per metric tonne at 10:38 CST:
Canola Mar 866.20 dn 2.80
May 863.60 dn 2.90
Jul 862.80 dn 3.00
Nov 831.10 dn 4.50
