By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, June 20 (MarketsFarm) – The ICE Futures canola market was weaker on Monday, hitting its weakest levels in three months as speculative selling built on itself.
Malaysian palm oil and European rapeseed futures were both down on the day, with last week’s selloff in crude oil bearish for vegetable oil in general.
After posting losses for most of the previous week the technical trends have turned bearish for canola, which contributed to the selling pressure.
Showers are forecast to move through southern Alberta and Saskatchewan, with excessive heat in Manitoba likely to bring some thunderstorm activity.
Markets in the United States were closed for the Juneteenth National Independence Day, which marks the end of slavery in the country. The lack of direction from the soy market kept some caution in canola, although soybeans and soyoil are expected to come under pressure when trading resumes for the overnight session.
About 15,377 canola contracts traded on Monday, which compares with Friday when 34,263 contracts changed hands. Spreading accounted for 7,616 of the contracts traded.
