ICE canola drops with world trade concerns

By Phil Franz-Warkentin, Commodity News Service Canada

WINNIPEG, July 11 (CNS Canada) – ICE Futures canola contracts were weaker at midday Wednesday, as mounting world trade concerns weighed on values.

The United States announced it was considering placing 10 per cent tariffs on an additional US$200 billion worth of Chinese goods, with China set to reciprocate in kind. Equities and commodities around the world all fell as a result of the news, with Chicago Board of Trade soybeans setting fresh contract lows.

Speculators were noted sellers in canola, adding to their growing net short positions, according to participants. Relatively favourable crop conditions across most of the Prairies were also bearish, although some areas of concern remain.

Scale-down commercial buying helped temper the declines, as end users pick up bargains on the way down, according to a broker.

About 8,000 canola contracts had traded as of 10:38 CDT.

Commodity Future Prices

Canola
updated 2018-07-11 10:42
Price Change
Nov497.7-4.80
Jan503.1-4.90
Mar508-4.70
May510.6-5.30

Prices are in Canadian dollars per metric ton

COPA Medallion COPA finalist in 2012, 2014 and 2015.
©2018 AGCanada is a production of Glacier FarmMedia Limited Partnership. Any affiliated or third party content is the property of its respective owner and is used with permission.
Please refer to Copyright Page for details.
Click here to view our Website Terms of Use.