By Phil Franz-Warkentin, Commodity News Service Canada
December 16, 2014
Winnipeg – ICE Canada canola contracts were posting losses Tuesday morning, as declines in most outside oilseed markets spilled over to weigh on values.
CBOT soybeans and soyoil, Malaysian palm oil, and European rapeseed futures were all down in overnight activity.
Speculative selling contributed to the declines, as canola ran into nearby resistance on Monday and was said to be due for a correction from a chart standpoint.
A firmer tone in the Canadian dollar contributed to the early bearish sentiment in canola, however the currency is still trading near its weakest levels relative to its US counterpart in years.
Steady end user demand and a lack of farmer selling on the other side, as producers are largely waiting for the New Year, also helped limit the losses.
About 2,800 canola contracts had traded as of 8:49 CST.
Milling wheat, durum, and barley futures were all untraded and unchanged, after wheat saw some price adjustments following Monday’s close.
Prices in Canadian dollars per metric ton at 8:49 CST:
