|By Terryn Shiells, Commodity News Service Canada|
|August 1, 2012|
|WINNIPEG – Canola contracts on the ICE Futures Canada platform were trading at lower price levels at 10:33 CDT Wednesday, following weakness in outside oilseed markets, analysts said.
Declines seen in the CBOT soybean complex were responsible for some of the price weakness experienced by canola, participants said.
Profit taking, and news of a possible weather shift next week in the US Midwest were responsible for the CBOT soybean complex’s move to the downside, traders said.
Canola sank lower than the CBOT soybean complex, because the Canadian canola crop is going to be considerably larger than the US soybean crop, a Winnipeg based trader said.
Losses in Malaysian palm oil and European rapeseed futures during overnight trade also added to the bearish price sentiment.
Canola values were also lower as some market players caused a late rally near the close of trade on Tuesday and the market was in need of a downward correction.
Generally good conditions for the development of canola, and the advancement of the harvest in some regions in Manitoba also generated some of the downward price action.
However, the firmer tone in the value of the Canadian dollar tempered the losses, as it made canola a more attractive option for foreign buyers.
As of 10:33 CDT, about 8,100 canola contracts had traded.
Durum, barley and milling wheat were untraded and unchanged.
|Nov||616.10||dn 15.20 Jan 620.00 dn 13.50 Mar 619.00 dn 16.00 Milling Wheat Oct 317.50 unch Dec 325.00 unch Durum Oct 325.50 unch Dec 330.00 unch Barley Oct 264.50 unch Dec 269.50 unch|
Futures Prices as of May 22, 2013
Prices are in Canadian dollars per metric ton