Canola futures closed weaker on Thursday, seeing follow-through selling after Wednesday’s drop below chart support.
Wednesday’s close below C$800/tonne in the nearby November contract was bearish from a technical standpoint, with the resulting speculative selling building on itself on Thursday. Losses in European rapeseed and Malaysian palm oil also weighed on canola, although a turn higher in Chicago soyoil provided some support.
Seasonal harvest pressure and relatively favourable Prairie weather were also overhanging the market, while scale-down end-user demand on the other side tempered the declines.
November canola lost $12.10 to $786.50, January dropped $13.20 to $793.20, and March fell $13.20 to $798.20.
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