By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Feb. 11 (CNS Canada) – ICE Futures canola contracts were down at midday Monday, hitting fresh three-week lows as losses in Chicago Board of Trade soyoil futures spilled over to weigh on values.
Soyoil hit its highest levels in eight months on Friday, but ran into resistance and was posting large losses at midday Monday. Malaysian palm oil futures were also down sharply to start the week amid concerns over declining export demand.
Large commercial supplies contributed to the weaker tone in canola. Concerns that the diplomatic dispute between China and Canada may lead to a reduction in demand also weighed on values.
However, weakness in the Canadian dollar provided some support.
About 14,000 canola contracts traded as of 10:59 CST, with intermonth spreading a feature.
Prices in Canadian dollars per metric tonne at 10:59 CST:
Canola Mar 479.50 dn 3.80
May 487.60 dn 4.20
Jul 495.60 dn 4.30
Nov 494.40 dn 4.80