ICE canola at three-month lows Monday morning

By Phil Franz-Warkentin

Glacier FarmMedia MarketsFarm – The ICE Futures canola market was weaker Monday morning, hitting fresh three-month lows as bearish technical signals and losses in outside markets weighed on values.

Chicago soyoil and European rapeseed were both down, while the Malaysian palm oil market was closed for a holiday.

The July canola contract traded just above the psychological C$600 per tonne level before uncovering some support. The more-active November contract hit a session low of C$620.00 per tonne before stabilizing.

Large old crop supplies and relatively favourable weather conditions across the Prairies were also bearish. On the other side, ideas that canola was looking more attractively priced for end users compared to other oilseeds provided some support with crush margins widening over the past week.

About 13,900 canola contracts had traded as of 8:45 CDT.

Prices in Canadian dollars per metric ton at 8:45 CDT:

Canola            Jul   604.10    dn  1.30

Nov   622.60    dn  1.80

Jan   629.70    dn  1.80

Mar   633.00    dn  3.30