By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, July 20 – (MarketsFarm) – ICE Futures canola contracts were weaker at midday Wednesday, seeing a continuation of Tuesday’s downturn as relatively favourable crop conditions across Western Canada weighed on values.
“It’s all the weather,” said a trader, adding “it’s looking fairly decent across the Prairies.” The lack of significant production concerns for the time being was keeping end users on the sidelines or only buying on a scale-down basis.
Manitoba’s canola crop was rated 60 per cent good-to-excellent in the latest report from the provincial government, with 50 to 60 per cent of the crop in the blooming stage of development.
Losses in outside markets, including Chicago soyoil and European rapeseed, put some additional spillover pressure on canola. However, Malaysian palm oil and the Canadian dollar were both holding relatively steady.
About 9,500 canola contracts traded as of 10:41 CDT.
Prices in Canadian dollars per metric tonne at 10:41 CDT:
Canola Nov 819.50 dn 19.50
Jan 826.40 dn 20.10
Mar 832.60 dn 20.90
May 838.00 dn 21.00
