By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, May 11 (CNS Canada) – ICE Canada canola contracts were down Wednesday morning, as traders took profits on Tuesday’s sharp gains.
While the nearby technical bias remains pointed higher, canola futures settled at fresh contract highs on Tuesday and had room to correct lower. The rally also likely triggered some farmer hedges, according to participants.
A softer tone in the Chicago Board of Trade soy complex, strength in the Canadian dollar, and beneficial rainfall in some areas of Western Canada also weighed on prices to start the day.
However, there are also still enough areas of concern across the Prairies to keep some weather premiums in the futures.
About 9,000 canola contracts had traded as of 8:57 CDT.
Milling wheat, durum, and barley futures were all untraded.
