WINNIPEG, (Manitoba): ICE canola futures tumbled on Tuesday as the main contract dipped below key price levels and triggered technical selling.
March canola lost $17 or 2% to settle at $841.60 per tonne. March touched its lowest price since Dec. 20. The contract slipped below its 50-day and 100-day moving averages, causing trend-following investors to accelerate selling, a trader said. Canola prices are likely to rise into spring, as they normally do, amid tight Canadian supplies, said LeftField Commodity Research analyst Chuck Penner, speaking at the Crop Production Week conference.
March-May canola spread, the most active inter-month spread, traded 5,224 times.
US soybean futures dipped and traders were squaring positions ahead of US Department of Agriculture (USDA) crop data on Thursday. Euronext February rapeseed futures eased.