ICE Canola Midday: Looking to bust through support level
Little upside for canola
By Glen Hallick
Glacier Farm Media MarketsFarm – Intercontinental Exchange canola futures remained lower at midsession Monday despite an attempt to recover.
An analyst stated canola was testing its support level of C$600 per tonne in the nearby July contract and should it break through that, the next level is around C$585/tonne.
“Whatever inertia we had to the upside is done,” the analyst commented.
Pressure on the oilseed was coming from losses in the Chicago soy complex, especially in soybeans. European rapeseed was also pulling back hard and Malaysian palm oil was closed for another holiday. Upticks in crude oil tempered the declines in the vegetable oils.
Prospects for a good canola crop across the Prairies coupled with large old crop stocks weighed on values.
The Canadian dollar was virtually unchanged by late Monday morning with the loonie at 72.70 U.S. cents.
Approximately 29,750 canola contracts were traded as of 10:38 am CDT, with prices in Canadian dollars per metric tonne:
Price Change Canola Jul 598.60 dn 6.80 Nov 617.50 dn 6.90 Jan 623.80 dn 7.70 Mar 628.40 dn 7.90
