ICE Review : Canola Falls With Weaker Soyoil

WINNIPEG, Manitoba--Intercontinental Exchange canola futures fell hard, getting pressure from declines in comparable oils.

A trader emphasized Tuesday that canola has turned weaker largely because of sharp losses in Chicago soyoil. Demand has been reduced for soyoil from the biofuel sector, he said. Forecasts of rain for the Prairies continued to weigh on values.

The Chicago soy complex, European rapeseed and Malaysian palm oil were down Tuesday. Modest declines in crude-oil prices added pressure to the oilseeds.

The July canola contract fell below is 20-day, 50-day and 100-day moving averages. Canola crush margins dropped to their lowest levels in more than a year.

The Canadian dollar was weaker because of sharp upticks in the U.S. dollar and a lackluster economic report from Statistics Canada. The loonie fell to 72.65 U.S. cents compared to Monday's close of 73.22.

An estimated 43,539 contracts traded on Tuesday, compared to Monday when 41,290 contracts changed hands. Spreading accounted for 19,138 contracts traded.

Prices are in Canadian dollars per metric ton:

 
   Contracts Price   Change 
   Jul       618.00  dn 15.00 
   Nov       635.00  dn 14.10 
   Jan       643.80  dn 13.30 
   Mar       649.20  dn 12.30 
 

Spread trade prices are Canadian dollars and the volume represents the number of spreads:

 
   Months  Prices                      Volume 
 
   May/Jul 14.00 under to 14.20 under     27 

Jul/Nov 15.60 under to 17.00 under 7,488

   Jul/Jan 23.60 under to 25.80 under    119 
   Nov/Jan  7.60 under to 9.00 under   1,360 
   Nov/Mar 11.90 under to 13.60 under     31 
   Nov/May 13.50 under to 14.10 under     23 
   Jan/Mar  3.80 under to 5.60 under     280 
   Mar/May  0.80 over to 3.20 under      239 
   May/Jul  4.50 over to 3.10 over         2 
 

Source: MarketsFarm, [e-mail]

(END) Dow Jones Newswires

04-30-24 1534ET