By Dave Sims, Commodity News Service Canada
Winnipeg, December 8 (CNS Canada) – Canola contracts on the ICE Futures Canada platform finished weaker on Friday, due to fund liquidation.
“They’re back in on the sell side as we just broke through the lows we set earlier in the week which is technically negative,” said a trader in Winnipeg.
Losses in U.S. soybeans dragged down prices.
The market was still feeling the bearish effects of this week’s production estimate from Statistics Canada, which called for a record crop.
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However, gains in U.S. soyoil limited the damage.
The front-month contract found psychological support just above the C$500 per tonne mark.
Around 27,179 canola contracts were traded on Friday, which compares with Thursday when around 17,212 contracts changed hands. Spreading accounted for 16,734 of the contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Soybean futures on the Chicago Board of Trade fell two cents on forecasts calling for scattered rain in parts of Argentina.
China imported 8.7 million tonnes of soybeans in November, which was up 48 percent from October.
According to the USDA, just under 130,000 tonnes of soybeans were sold to unknown destinations.
Corn futures eked out a gain of one cent on Friday in light technical buying.
An analyst in Brazil is predicting livestock feed production in Brazil will continue to grow despite falling corn prices.
The Netherlands is reporting a case of bird flu at a duck farm in the country, which was bearish.
Wheat futures finished two cents lower on Friday, weighed down by large world supplies.
Bearish technical signals contributed to the downside.
Brazil is reportedly preparing to lift restrictions on imports or Russian wheat, which was bearish news for U.S. exporters.
