By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Oct. 23 (MarketsFarm) – ICE Futures canola contracts were weaker at midday Wednesday, as bearish chart signals weighed on prices.
Losses in Chicago Board of Trade soyoil and a steady tone in the Canadian dollar contributed to the declines, with improving harvest progress in parts of Western Canada also weighing on values.
However, the harvest remains well behind normal and uncertainty over the size of this year’s crop provided underlying support.
Intermonth spreading was a feature of the activity, as participants actively roll their positions out of the front month November contract. However, volumes were down from earlier in the week, with the bulk of the open interest already moved to the January contract.
About 14,000 canola contracts traded as of 10:48 CDT.
Prices in Canadian dollars per metric tonne at 10:48 CDT:
Price Change
Canola Nov 450.00 dn 3.60
Jan 458.70 dn 3.40
Mar 467.80 dn 3.60
May 475.30 dn 3.60
