By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, March 22 (MarketsFarm) – ICE Futures canola contracts were down sharply Friday morning, amid renewed concerns over Chinese demand.
China is reportedly buying no Canadian canola right now, according to a release from the Canola Council of Canada.
“While there was some initial optimism that Chinese concerns with canola trade could be resolved quickly, technical discussions to date have not indicated an immediate resolution is possible,” said the Canola Council.
Agriculture and Agri-Food Canada also released updated supply/demand tables Thursday afternoon, raising the canola ending stocks forecast for the 2018/19 crop year to 3.5 million tonnes. That would be the largest canola carryout on record and a million tonnes above the 2017/18 level.
Chicago Board of Trade soybeans and soyoil futures were slightly weaker in early activity, adding to the softer tone in canola.
About 8,000 canola contracts had traded as of 8:48 CDT.
Prices in Canadian dollars per metric ton at 8:48 CDT:
Price Change
Canola Mar 458.00 dn 10.20
May 466.90 dn 9.70
Jul 479.70 dn 9.20
Nov 486.10 dn 8.90
