By Jade Markus, Commodity News Service Canada
WINNIPEG, July 19 – ICE Canada canola contracts were weaker in early activity on Tuesday, following losses in Chicago Board of Trade soybeans.
CBOT soybeans lost ground after the US Department of Agriculture left crop conditions unchanged, pegging 71 per cent of soybeans in good to excellent condition.
That bearish news caused spillover weakness in the canola market.
On the technical side of things, analysts say canola’s failure to sustain follow-through buying after yesterday’s higher close could cause selling throughout the day.
However, weakness in the Canadian dollar against its US counterpart limited losses.
A lower loonie makes canola more appealing to international buyers.
Malaysian palm oil closed stronger overnight, which also capped declines.
About 1,855 canola contracts had traded as of 8:51 CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged.
