ICE canola weaker at midday Friday

By Phil Franz-Warkentin

Glacier FarmMedia MarketsFarm – The ICE Futures canola market was sharply lower at midday Friday, taking back much of Thursday’s gains with chart-based speculative selling ahead of the weekend a feature.

Losses in the Chicago soy complex accounted for some spillover weakness in the Canadian oilseed. European rapeseed futures were also lower, although Malaysian palm oil posted small gains overnight.

Large old crop supplies and relatively favourable Prairie weather conditions contributed to the bearish tone in canola, with end users showing little interest in bidding up the market.

Weakness in the Canadian dollar provided some underlying support.

An estimated 33,300 canola contracts traded as of 11:04 CDT.

Prices in Canadian dollars per metric tonne at 11:04 CDT:

Canola            Jul   626.90    dn  12.90

Nov   647.60    dn  13.10

Jan   655.00    dn  11.80

Mar   660.10    dn  10.90