By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, March 19 (MarketsFarm) – The ICE Futures canola market was mixed Friday morning, recovering from the lows hit overnight as the speculative selloff that weighed on prices the previous two days showed signs of waning.
The nearby May contract has fallen by roughly C$50 per tonne off of its highs hit earlier in the week, with a move below the 50-day moving average on Thursday seen as bearish from a chart standpoint.
May canola had lost nearly C$9.00 per tonne in overnight activity, but recovered to post small gains as the North American day session got underway. Strength in Chicago Board of Trade soybeans and a softer tone in the Canadian dollar provided support.
Ongoing concerns over tight old crop supplies also helped underpin the futures, with any losses still seen as buying opportunity from an end-user standpoint.
About 7,100 canola contracts had traded as of 8:42 CDT.
Prices in Canadian dollars per metric ton at 8:42 CDT:
Price Change
Canola May 754.50 up 0.40
Jul 706.40 dn 4.00
Nov 605.60 dn 5.70
Jan 607.80 dn 4.90
