WINNIPEG – After hitting a 21-month low on Tuesday, the ICE Futures canola market was extending its losses on Wednesday.
The Chicago soy complex retreated yet again, while European rapeseed and Malaysian palm oil were also lower. Crude oil was making slight gains due to declining United States stockpiles. Traders are awaiting an announcement from the U.S. Federal Reserve later today which would indicate whether it will raise its key interest rates.
One trader said today’s losses are yet another instance of canola’s recent downslide.
“It’s just a continuation of a weak market that was too high for too long and now we are correcting lower,” the trader said.
The Canadian dollar was steady compared to Tuesday’s close.
Nearly 26,389 canola contracts were traded as of 10:23 CDT.
Price Change
May 722.60 dn 6.80
Jul 709.00 dn 10.50
Nov 684.00 dn 13.00
Jan 688.50 dn 12.60
