By Dave Sims, Commodity News Service Canada
WINNIPEG, July 22 – Canola contracts on the ICE Futures Canada platform were lower at 10:45 CDT on Friday, following steep losses in the US soy complex.
“Funds are speculative sellers in here for sure. We’ve probably got them short 35,000 contracts and they’re likely good sellers on this thing,” said a trader in Winnipeg.
Declines in crude oil and vegetable oil were also bearish for canola prices.
The current heat wave in the US Midwest is expected to subside over the next few days, which also weighed down the market.
However, on the other side, the Canadian dollar was weaker relative to its US counterpart, which made canola more attractive to foreign buyers.
Excess moisture in parts of Manitoba and Saskatchewan has thrown a weather premium into the market.
About 12,400 canola contracts had traded as of 10:45 CDT.
Milling wheat, barley and durum were untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:45 CDT:
