By Terryn Shiells, Commodity News Service Canada
Winnipeg, Nov 5 – Canola contracts on the ICE Futures Canada platform moved lower, following the weakness in the Chicago soybean complex Wednesday morning.
Further spillover pressure came from the overnight softness in Malaysian palm oil and European rapeseed futures.
The market’s technical bias has now shifted lower, which was also bearish, as were ongoing expectations of record large US soybean production, according to analysts.
However, talk of strong demand for Canadian canola from China helped to limit the declines.
The sharp decline seen in the Canadian currency this week was also supportive, as it made canola more attractive to crushers and exporters. The loonie dropped below the 87.50 cents US mark Wednesday morning.
As of 8:43 CST, about 4,450 contracts had traded.
Milling wheat, durum and barley futures were untraded following price revisions after Tuesday’s close.
Prices in Canadian dollars per metric ton at 8:43 CST:
