By Glen Hallick, MarketsFarm
WINNIPEG, March 27 (MarketsFarm) – ICE Futures canola contracts were steady to lower in light trading at midday Wednesday, as the markets consolidate after Tuesday’s drop in prices.
China remains the big factor, as tensions with Canada continue to adversely affect the market.
A Winnipeg-based trader said that situation won’t change until the two countries arrive at a resolution.
“It’s in the hands of the politicians,” he said.
Prime Minister Justin Trudeau stated on Tuesday that he will consider sending a high-level delegation to China to discuss negative matters between the two countries.
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The trader also noted there has been little demand for canola and a lack of willing sellers.
Also weighing on values so far today have been soybean prices on the Chicago Board of Trade, according to the trader. By midday May soybeans lost about 11 cents per bushel.
Canola has found some support at midday in a lower Canadian dollar, he said.
About 5,700 canola contracts were traded as of 10:30 CDT.
Prices in Canadian dollars per metric tonne at 10:30 CDT:
Price Change
Canola May 451.60 dn 0.10
Jul 459.00 dn 0.80
Nov 470.50 dn 1.50
Jan 477.60 dn 1.40
