By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Feb. 23 (MarketsFarm) – The ICE Futures canola market was weaker at midday Thursday, taking some direction from Chicago soyoil.
Losses in European rapeseed futures were also bearish, although Malaysian palm oil was higher on the day.
Chart-based speculative selling contributed to the declines in canola, as the futures backed away from nearby resistance. The most-active May contract failed to break above C$835 per tonne on Wednesday and was retreating towards its 20-day moving average near C$825 per tonne on Thursday.
On the other side, crush margins remain historically wide which should be keeping end users in the market – at least on a scale-down basis.
About 20,000 canola contracts traded as of 10:34 CST.
Prices in Canadian dollars per metric tonne at 10:34 CST:
Canola Mar 837.50 dn 1.30
May 828.90 dn 2.80
Jul 825.50 dn 4.70
Nov 805.40 dn 3.60
