By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, April 30 (MarketsFarm) – ICE Futures canola contracts were mostly lower at midday Tuesday, hitting fresh contract lows as losses in the Chicago Board of Trade soy complex and the ongoing concerns over Chinese demand weighed on values.
The deteriorating trade relations between Canada and China was the major bearish influence on canola, according to a trader who expected the bias to remain pointed lower as long as the two countries remain at odds with each other.
“There’s nothing really to talk about,” said the trader.
Chart-based selling added to the declines, as some stops were likely hit as prices hit new contract lows.
The Canadian dollar was steady on Tuesday, providing little direction.
Expectations that the falling prices will cut into some canola acres this spring were somewhat supportive.
About 5,300 canola contracts traded as of 10:46 CDT.
Prices in Canadian dollars per metric tonne at 10:46 CDT:
Price Change
Canola Jul 442.10 dn 2.80
Nov 456.30 dn 2.60
Jan 463.40 dn 2.80
Mar 470.00 dn 2.80
