ICE canola continues lower Tuesday morning

By Phil Franz-Warkentin

Glacier FarmMedia | MarketsFarm — The ICE Futures canola market was weaker Tuesday morning, seeing a continuation of Monday’s sharp declines as an attempt at correcting higher ran out of steam.

Canola had moved higher in overnight activity but quickly turned lower as the North American day session got underway. The May contract fell below its 20-day moving average on Monday for the first time in three weeks, which was bearish from a chart standpoint. Concerns over looming tariffs from the United States contributed to the declines.

Losses in the Chicago soy complex were also bearish, although European rapeseed and Malaysian palm oil were firm.

Tightening supplies and the need to ration demand remained supportive.

About 23,400 canola contracts had traded as of 8:49 CST.

Prices in Canadian dollars per metric ton at 8:49 CST:

Canola            Mar   642.50    dn  5.40

May   654.40    dn  4.90

Jul   660.40    dn  4.70

Nov   644.10    dn  5.80