By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Sep. 18 (CNS Canada) – ICE Futures canola contracts were weaker Tuesday morning, nearing major support as losses in the Chicago Board of Trade soy complex weighed on values.
The United States announced another round of tariffs on Chinese imports, which should see China retaliate in kind. The trade dispute helped take soybeans to 10-year lows and spilled into the canola market as the Canadian oilseed remains overpriced compared to other options.
Seasonal harvest pressure added to the softer tone in canola, according to participants.
However, poor harvest conditions in parts of Western Canada provided some underlying support.
Statistics Canada releases updated production estimates using satellite imagery on Wednesday, Sep. 19, and pre-report positioning was another feature.
About 5,900 canola contracts had traded as of 8:55 CDT.
