Howard Leaman Jul 17/19
Canola traded on both sides of unchanged again on Wednesday, ending
lower. Trading continues to be confined to a consolidation pattern as
traders try to get a better handle on the prospects for North American crop
production. The outlook is better than it was earlier in the spring, but
there are still enough areas of concern to discourage aggressive selling.
On Wednesday, strength in the Canadian dollar, weakness in soy and
continued concerns about restricted Chinese demand for both Canadian canola
and U.S. soy weighed on canola prices. Soy prices had shown some bounce
earlier, but revised forecasts calling for more favourable U.S. crop
weather dropped the complex into negative territory. The Canadian dollar
gained about a quarter of a cent against the U.S. dollar on Wednesday. That
selling was not sufficient to overcome crop concerns, however, and canola
prices stayed above key support on the price charts.
Nov Canola 451.60 442.00
Jan Canola 458.30 449.20
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