By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Jan. 9 (CNS Canada) – ICE Futures Canada canola contracts were weaker Tuesday morning, with speculative selling and a lack of significant end-user demand weighing on values.
Soybean futures at the Chicago Board of Trade were also posting small losses in early activity. That put some spillover pressure on canola as traders on both sides of the border square positions before the release of a number of reports from the United States Department of Agriculture on Friday.
Recent strength in the Canadian dollar remained a bearish influence as well, although the currency was backing away from its nearby highs on Tuesday.
Traders are also following weather conditions in South America. While recent rains have alleviated some concerns in Argentina, nearby forecasts look hot and dry in the country.
About 3,700 canola contracts had traded as of 8:56 CST.
