By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Aug. 11 (MarketsFarm) – The ICE Futures canola market was weaker at midday Tuesday, as it continued to back away from its recent highs.
After good export demand and chart-based buying had provided support earlier in the month, “we’ve done enough work to the upside for now,” said a trader accounting for the consolidative tone in the market.
A firmer tone in the Canadian dollar and losses in Chicago Board of Trade soyoil also put some pressure on canola, according to the trader.
The looming Prairie harvest was another bearish influence in the background.
The United States Department of Agriculture releases updated production estimates on Wednesday, and pre-report positioning was a feature in the North American grains and oilseeds.
About 7,000 canola contracts traded as of 10:38 CDT.
Prices in Canadian dollars per metric tonne at 10:38 CDT:
Canola Nov 487.30 dn 1.20
Jan 493.40 dn 1.00
Mar 497.10 dn 1.10
May 499.50 dn 1.50