WINNIPEG, Manitoba--Intercontinental Exchange canola futures continued lower on Friday with the nearby March contract sliding below its C$600 per ton support level.
Pressure on canola was coming from an upswing in producer deliveries, be they unpriced or fulfilling commitments, according to a trader.
The Canadian Grain Commission reported canola deliveries came to 442,900 tons for the week ended Jan. 28, which the trader said were the highest in 13 weeks.
Also, he pointed to canola's lackluster exports which also pressured the oilseed. The CGC reported year-to-date exports of 2.78 million tons compared to 4.29 million for the same time last year.
"There's a decent line up of boats in Vancouver destined for China, but it's a lot lower than they would be for this time of year," the trader commented.
Weakness in the Chicago soy complex, European rapeseed and Malaysian palm oil also weighed on canola values. Declines in global crude oil prices applied more pressure on the oilseed markets.
By late Friday morning the Canadian dollar retreated with the loonie at 74.33 U.S. cents, compared with Thursday's close of 74.60.
Approximately 34,150 canola contracts were traded as of 11:35 a.m. ET, with prices in Canadian dollars per metric ton:
Canola Price Change
Mar 595.00 dn 6.20
May 601.60 dn 6.80
Jul 606.20 dn 6.50
Nov 606.50 dn 6.00
Source: Commodity News Service Canada, news@marketsfarm.com
(END) Dow Jones Newswires
02-02-24 1214ET
