|By Terryn Shiells, Commodity News Service Canada|
|September 20, 2012|
|WINNIPEG – Canola contracts on the ICE Futures Canada platform were trading at lower price levels at 8:28 CDT Thursday, following weakness seen in outside oilseed markets, analysts said.
The sell-off seen in the CBOT soybean complex spilled over to weigh on canola values. Pressure from the advancing soybean harvest in the US sparked most of the selling that brought soybean futures down, traders said.
Profit-taking following Wednesday’s advances also added to the price softness in both the CBOT soybean complex and canola, market watchers said.
Declines seen in European rapeseed and Malaysian palm oil futures during overnight trade also added to the bearish price sentiment in canola.
A slowdown in the Chinese economy had traders shying away from riskier commodity-based assets Thursday morning, including canola, brokers said.
However, continued concerns that Canadian canola supplies will be very tight and demand will need to be rationed, limited the declines. Some market participants expect canola production will be much lower than Statistics Canada August 22 estimate of 15.4 million tonnes.
Activity was on the light side Thursday morning. As of 8:26 CDT, only about 390 canola contracts had traded.
|Nov||632.00||dn 2.60 Jan 629.90 dn 8.30 Mar 630.00 dn 8.30 Milling Wheat Oct 294.00 unch Dec 299.80 unch Durum Oct 310.10 unch Dec 314.60 unch Barley Oct 250.30 unch Dec 255.30 unch|
Futures Prices as of May 17, 2013
Prices are in Canadian dollars per metric ton