By Jade Markus, Commodity News Service Canada
WINNIPEG, November 1 – ICE Canada canola contracts were weaker at midday on Tuesday, following the US soy complex lower.
Chicago Board of Trade soybeans, soy meal and soy oil declined on Tuesday, pressured by the advancing US harvest and spillover weakness from overnight losses in Malaysian palm oil, which was bearish for canola.
Advances in the Canadian dollar against its US counterpart added to canola’s declines.
A stronger loonie makes canola less appealing to international buyers.
“I think we’re going to grind lower before the day is done,” said one Winnipeg-based trader.
He added that canola may have touched short-term highs in previous sessions, and the market has adopted a more bearish tone.
“I think the harvest situation in the western Prairies is probably as bad as it was, but we’ve forgotten about it,” he said.
About 15,049 contracts had traded as of 10:20 CDT.
Milling wheat, durum and barley futures were all untraded and unchanged.
