WINNIPEG, Manitoba--The ICE Futures canola market was weaker on Tuesday, dropping below psychological support as speculative selling weighed on values.
The nearby March contract fell below C$800 per tonne, which was bearish from a chart standpoint.
Concerns that Australia's large canola crop will cut into some Canadian export demand added to the softer tone, according to participants.
Losses in Chicago soyoil also weighed on values, although soybeans held closer to unchanged and European rapeseed was higher on the day. The Malaysian palm oil market was untraded due to the Lunar New Year holiday.
Domestic crush margins remain strong and scale-down end user demand provided some support.
About 34,963 canola contracts traded on Tuesday, which compares with Monday when 27,510 contracts changed hands.
Spreading accounted for 25,806 of the contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Price Change
Canola
Mar 796.70 dn 10.00 May 796.20 dn 10.20 Jul 797.60 dn 10.70 Nov 782.60 dn 9.60
Spread trade prices are in Canadian dollars and the volume represents the number of spreads:
Months Prices Volume Mar/May 1.90 over to 0.10 over 6,039 Mar/Jul 0.40 over to 1.30 under 877 Mar/Nov 14.00 over 25 May/Jul 0.30 under to 2.00 under 3,645 May/Nov 17.00 over to 14.00 over 380 Jul/Nov 19.30 over to 15.00 over 1,895 Nov/Jan 2.00 under to 2.60 under 42
Source: Commodity News Service Canada
Write to Phil Franz-Warkentin at news@marketsfarm.com
(END) Dow Jones Newswires
01-24-23 1531ET