WINNIPEG, Manitoba--The ICE Futures canola market fell to its lowest levels in three weeks on Thursday, seeing a continuation of Wednesday's selloff. Increased farmer hedges after recent gains, bearish technical signals and spillover from outside markets contributed to the declines.
Canola was not included in interim rules on biofuel feedstock guidelines from the U.S. Department of Agriculture released Wednesday, which raised concerns over demand from the U.S. biodiesel sector and weighed on values.
Chicago soyoil, European rapeseed and Malaysian palm oil were all down on the day, adding spillover pressure on the canola market.
However, tightening supply projections and the need to ration demand going forward helped temper the declines.
There were an estimated 85,621 contracts traded on Thursday, which compares with Wednesday when 75,170 contracts traded. Spreading accounted for 55,778 of the contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Price Change Mar 606.80 dn 23.30 May 616.40 dn 23.40 Jul 624.80 dn 22.20 Nov 616.80 dn 13.50
Spread trade prices are in Canadian dollars and the volume represents the number of spreads:
Months Prices Volume Mar/May 8.90 under to 11.90 under 16,853 Mar/Jul 16.60 under to 20.60 under 109 Mar/Nov 8.90 under 1 May/Jul 7.00 under to 8.80 under 6,358 May/Nov 7.50 over to 0.40 under 28 Jul/Nov 16.80 over to 7.50 over 4,369 Nov/Jan 5.10 under to 6.20 under 143 Nov/Mar 5.60 under to 5.80 under 3 Nov/Jul 3.10 under 9 Jan/Mar 0.30 under to 1.00 under 13 Mar/Jul 1.90 over 1 May/Jul 2.90 over to 2.40 over 2
Source: Commodity News Service Canada, news@marketsfarm.com
(END) Dow Jones Newswires
01-16-25 1534ET