ICE canola turns lower after running into resistance

By Phil Franz-Warkentin

Glacier FarmMedia | MarketsFarm—The ICE Futures canola market was weaker Thursday morning with chart-based positioning a feature of the choppy trade.

Overnight advances in Chicago soyoil provided spillover support, although the soy market backed away as the North American day session got underway and canola also moved off its session highs.

The November contract traded just under resistance at C$620 per tonne before the buying interest subsided and prices dipped below unchanged.

Agriculture and Agri-Food Canada released updated supply/demand estimates on Wednesday, raising their call for 2024-25 canola ending stocks to 2.500 million tonnes from an earlier forecast of 2.230 million tonnes. Carryout for the 2023-24 crop year came in at 3.092 million tonnes.

About 19,900 canola contracts had traded as of 8:48 CDT.

Prices in Canadian dollars per metric ton at 8:48 CDT:

Canola            Nov   609.60    dn  1.70

Jan   622.50    dn  1.70

Mar   633.00    dn  2.90

May   641.00    dn  2.90