By Glen Hallick, MarketsFarm
WINNIPEG, Sept. 5 (MarketsFarm) – ICE Futures canola contracts were lower at midday Thursday, as the Chicago soy complex and the canola harvest weighed on values, said a Winnipeg-based analyst.
“The U.S. markets are obviously the drag,” he said as prices were down across the soy complex.
And that came after the United States and China announced they will resume trade talks next month. The analyst said the U.S. stock markets were making gains on the news, but such has had a negative reaction in the commodities.
Although the Prairie canola harvest has been off to a slow start, pressure has already been felt price-wise.
“It’s tough to rally as harvest starts to approach,” the analyst said, noting there also remains a large carryover from last year.
However, he said canola has been at a discount compared to European rapeseed, which could lead to increased sales.
Approximately 7,100 canola contracts were traded as of 10:22 CDT.
Prices in Canadian dollars per metric tonne at 10:22 CDT:
Price Change
Canola Nov 444.50 dn 2.00
Jan 452.40 dn 2.10
Mar 459.20 dn 2.30
May 465.40 dn 2.50
