By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, June 1 (MarketsFarm) – The ICE Futures canola market was weaker Wednesday morning in choppy trade.
After holding relatively steady on Tuesday while the United States soy complex posted large losses, canola was possibly realigning itself with the Chicago futures. Soyoil and European rapeseed futures were weaker again on Wednesday, but soybeans and Malaysian palm oil were stronger.
Chart-based selling was likely behind some of the weakness in canola, as speculators look to exit their long positions.
However, ongoing uncertainty over new crop production provided support. Spring seeding remains well behind normal in the eastern Prairies, with crop insurance deadlines fast approaching in Manitoba. While recent rains caused additional delays, a window of more favourable weather should allow producers to make some progress over the next week.
About 4,200 canola contracts had traded as of 8:48 CDT.
Prices in Canadian dollars per metric ton at 8:48 CDT:
Canola Jul 1,179.00 dn 5.30
Nov 1,062.00 dn 11.50
Jan 1,065.50 dn 12.30
Mar 1,065.40 dn 10.50
