By Dave Sims, Commodity News Service Canada
WINNIPEG, February 23 – ICE Canada canola contracts were mostly lower Tuesday morning, following losses in the vegetable oil market.
Malaysian palm oil declined for the fourth consecutive day, which cut into the advances.
The US soy complex and European rapeseed futures were also lower.
Large supplies of South American soybeans are about to enter the market, which was bearish.
However, on the other side of the coin, the Canadian dollar was lower relative to its US counterpart, which improved domestic crush margins and made canola more attractive to outside buyers.
Steady commercial demand provided support to values which looked under-priced relative to other oilseeds, an analyst said.
Rain in Brazil is hampering harvest efforts, which gave canola some support.
About 5,000 canola contracts had traded as of 8:50 CST.
Milling wheat, durum, and barley futures were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 8:50 CST:
