By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Aug. 2 – (MarketsFarm) – ICE Futures canola contracts were sharply lower at midday Tuesday as activity resumed following the August long weekend.
Canadian markets were closed Monday while United States grain markets traded their usual hours. The soy complex fell sharply Monday and remained pointed lower on Tuesday, with macroeconomic concerns spurred on by a U.S. diplomatic visit to Taiwan and resulting tensions with China behind some of the selling pressure.
Forecasts remain relatively favourable for crop development across Western Canada, although some areas remain on the dry side while thunderstorm activity could cause damage where the storms hit.
End user bargain hunting at the lows likely provided some support, with a firmer tone in European rapeseed futures also helping temper the declines.
About 17,800 canola contracts traded as of 10:41 CDT.
Prices in Canadian dollars per metric tonne at 10:41 CDT:
Canola Nov 831.70 dn 61.10
Jan 841.60 dn 60.40
Mar 847.70 dn 62.30
May 855.00 dn 60.10
