By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, May 19 (CNS Canada) – ICE Canada canola contracts were weaker Thursday morning, as traders took profits after Wednesday’s gains.
Losses in CBOT soybeans and soyoil spilled over to weigh on canola, amid ideas that Wednesday’s late bounce in the Canadian oilseed was overdone. Malaysian palm oil was also down in overnight activity.
Improving moisture conditions in some of the dry regions of Alberta were also bearish. However, precipitation is no longer expected to be as widespread as originally forecast, and more rain will be needed going forward.
The Canadian dollar was sharply lower relative to its US counterpart on Thursday, which provided some underlying support for canola.
About 4,300 canola contracts had traded as of 8:53 CDT.
Milling wheat, durum, and barley futures were all untraded.
