By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Aug. 16 (CNS Canada) – ICE Canada canola contracts were weaker Tuesday morning, retreating from Monday’s gains.
A softer tone in the Chicago Board of Trade soy complex to start the day, along with strength in the Canadian dollar, contributed to the early selling pressure in canola, according to participants.
Expectations for large North American crops were also overhanging the market, with conditions thought to be relatively favourable for the time being.
Concerns over declining Chinese demand, due to new dockage rules set to be implemented soon, were another bearish influence.
However, chart support was holding to the downside, with any declines likely seen as a good buying opportunity from a technical standpoint.
About 5,700 canola contracts had traded as of 8:53 CDT.
Milling wheat, durum, and barley futures were all untraded.
