ICE Review : Canola Weaker and Taking Back Most Gains

WINNIPEG, Manitoba--The ICE Futures canola market was weaker on Tuesday, taking back most of Monday's gains as bearish technical signals and losses in outside markets weighed on values.

Losses in crude oil accounted for spillover selling pressure in most world oilseed and vegetable oil markets on Tuesday, with the Chicago soy complex, European rapeseed and Malaysian palm oil all lower.

Chart-based speculative selling contributed to the declines, as canola remained well below most major moving averages.

However, scale-down end user demand provided some support as crush margins remain very wide.

There were an estimated 48,425 contracts traded on Tuesday, which compares with Monday when 47,513 contracts traded.

Spreading accounted for 28,988 of the contracts traded.

Settlement prices are in Canadian dollars per metric tonne.

 
Canola 
        Price   Change 
 Jan    663.30  dn 9.80 
 Mar    670.80  dn 8.80 
 May    677.50  dn 9.50 
 Jul    683.00  dn 9.00 
 

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

 
 Months              Prices                  Volume 
 Jan/Mar    6.10 under to 7.90 under         11,341 
 Jan/May    13.10 under to 14.90 under          196 
 Jan/Jul    17.90 under to 20.00 under           31 
 Jan/Nov    15.10 under to 17.00 under           38 
 Mar/May    6.50 under to 7.60 under          2,280 
 Mar/Jul    11.70 under to 12.70 under           22 
 Mar/Nov    7.90 under to 8.40 under              3 
 May/Jul    4.30 under to 5.80 under            477 
 Jul/Nov    3.60 over to 1.30 over              105 
 Nov/Jan    0.60 under                            1 
 

Source: Commodity News Service Canada, [e-mail]

(END) Dow Jones Newswires

12-12-23 1542ET