By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, May 8 (MarketsFarm) – The ICE Futures canola market was weaker at midday Monday, retreating from earlier gains as a downturn in the Chicago soy complex weighed on values.
European rapeseed and Malaysian palm oil futures were both lower on the day, accounting for some of the spillover selling pressure in canola. Strength in the Canadian dollar was also bearish, although the currency was well off its highs.
Spring seeding is underway in the western Prairies and will pick up in the east over the next few weeks as temperatures warm up and fields dry out.
Statistics Canada releases its stocks as of March 31 report on Tuesday, which will help provide a better picture of usage-to-date. The United States Department of Agriculture releases its latest supply/demand estimates on Friday, with positioning ahead of that report likely to encourage speculative profit-taking over the next few days.
About 18,500 canola contracts traded as of 10:48 CDT.
Prices in Canadian dollars per metric tonne at 10:48 CDT:
Canola Jul 733.10 dn 2.00
Nov 708.50 dn 2.50
Jan 714.40 dn 2.00
Mar 720.30 dn 0.20
