By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Dec. 20 (CNS Canada) – ICE Futures canola contracts were weaker at midday Thursday, taking some direction from Chicago Board of Trade soybeans.
While solid export demand for United States soybeans was slightly supportive for the oilseeds, that buying interest has largely been priced into the futures and persistent trade tensions between the U.S. and China eventually weighed on values.
Ample canola supplies in the commercial pipeline and a seasonal slowdown in demand also weighed on canola values, with positioning ahead of the New Year a feature.
However, weakness in the Canadian dollar provided some underlying support as the currency dipped below 74 U.S. cents.
About 14,500 canola contracts traded as of 10:52 CST, with the January/March spread a feature of the activity.
