By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Aug. 29 (CNS Canada) – ICE Futures Canada canola contracts were weaker Tuesday morning, as losses in the Chicago Board of Trade soy complex and strength in the Canadian dollar weighed on prices.
Bearish technical signals contributed to the early declines, as the nearby November contract dipped below the psychological C$500 per tonne mark.
Positioning ahead of Thursday’s Statistics Canada production report kept some caution in the market. After growing 18.4 million tonnes of canola in 2016, average trade guesses are forecasting a similar crop for 2017. However, individual market opinions vary widely.
Tight old crop supplies and weather uncertainty as the harvest starts up across the Prairies provided underlying support for canola, according to participants.
About 5,200 canola contracts had traded as of 9:02 CDT.
Milling wheat, durum, and barley futures were all untraded.
