By Phil Franz-Warkentin, Commodity News Service Canada
January 26, 2015
Winnipeg – ICE Canada canola contracts were posting small losses Monday morning, with declines in CBOT soyoil behind some of the weakness.
Losses in Malaysian palm oil and European rapeseed futures contributed to the declines, with some speculative profit-taking following last week’s advances another factor, according to participants.
The recent strength in the market may also be drawing in some farmer selling. However, widening basis levels in many areas were expected to limit the extent of any producer sales.
Continued weakness in the Canadian dollar remained a supportive factor in the canola market as well, as the softer currency makes exports more attractive and is supportive for crush margins.
Weather concerns in some parts of South America were also starting to materialize, providing some underlying support as well.
About 4,000 canola contracts had traded as of 8:47 CST.
Milling wheat, durum, and barley futures were all untraded.
Prices in Canadian dollars per metric ton at 8:47 CST:
