ICE canola continues lower to start week

By Phil Franz-Warkentin, MarketsFarm

WINNIPEG, June 13 (MarketsFarm) – The ICE Futures canola market was weaker Monday morning, seeing a continuation of Friday’s selloff to start the week.

Losses in outside markets put some spillover pressure on the Canadian oilseed, with Chicago soyoil, Malaysian palm oil and European rapeseed futures all down in overnight trade.

Rains in the Western Prairies should be helping alleviate dryness concerns in the region, taking some of the weather premium out of the market. Meanwhile, farmers in the eastern Prairies likely made some seeding progress over weekend.

Weakness in the Canadian dollar provided some support, helping underpin crush margins. The currency has lost roughly two cents relative to its United States counterpart over the past week.

About 4,000 canola contracts had traded as of 8:52 CDT.

Prices in Canadian dollars per metric ton at 8:52 CDT:

Canola            Jul   1,091.10    dn  13.00

Nov   1,031.50    dn  12.70

Jan   1,037.50    dn  13.00

Mar   1,036.40    dn  15.10