By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Oct. 23 (MarketsFarm) – The ICE Futures canola market was weaker Friday morning, as investors continued to book profits after prices hit multi-year highs earlier in the week.
A softer tone in Chicago Board of Trade soybeans and soyoil accounted for some spillover selling pressure in canola. Early strength in the Canadian dollar was also bearish.
Visible canola supplies in the commercial pipeline remain large at 1.75 million tonnes, according to the latest Canadian Grain Commission data. However, farmer deliveries are showing signs of slowing down, with harvest activity wrapped up across the Prairies.
Solid demand from exporters and domestic crushers provided underlying support. The overall technical uptrend also remains intact, despite the modest pre-weekend profit-taking.
About 5,700 canola contracts had traded as of 8:50 CDT.
Prices in Canadian dollars per metric ton at 8:50 CDT:
Canola Nov 539.60 dn 5.80
Jan 543.50 dn 3.50
Mar 547.00 dn 2.70
May 544.10 dn 2.00
Futures Prices as of October 23, 2020
Prices are in Canadian dollars per metric ton