ICE canola weaker at midday Wednesday

By Phil Franz-Warkentin

Glacier FarmMedia | MarketsFarm — The ICE Futures canola market was weaker at midday Wednesday, taking some direction from the Chicago soy complex.

Chart-based positioning was a feature, with canola due for a correction after rising the previous four sessions.

Losses in European rapeseed also weighed on values, although canola remains underpriced compared to its European counterpart. European rapeseed also continues to trade near contract highs, providing support to world vegetable oil markets.

Updated production estimates will be released by Statistics Canada on Thursday, Dec. 5, with most market participants expecting a sizeable cut to canola production from the 18.98 million tonnes forecast in September. Canada grew 19.19 million tonnes of canola in 2023/24.

An estimated 30,800 canola contracts traded as of 11:01 CST.

Prices in Canadian dollars per metric tonne at 11:01 CST:

Canola            Jan   583.00    dn  3.90

Mar   594.90    dn  4.00

May   605.20    dn  4.30

Jul   608.60    dn  4.50