By Jade Markus and Dave Sims, Commodity News Service Canada
Winnipeg, June 24 (CNS Canada) – ICE Futures Canada canola ended lower on Friday, as a broad commodity sell-off pressured the market.
Many markets saw a sharp sell-off in the aftermath of a ‘leave’ vote from Britons in a recent referendum.
Spillover weakness from Chicago Board of Trade soybeans, which was also hurt by a Brexit-inspired rout, was also a feature.
Favorable weather in western Canada added to the declines.
A weaker technical bias still lingers, market watchers say, which added further pressure. Losses in the Canadian dollar limited declines.
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About 27,662 canola contracts traded on Friday, which compares with Thursday when 29,516 contracts changed hands.
Spreading accounted for about 7,886 of the contracts traded.
Milling wheat, durum and barley futures were all untraded and unchanged.
Settlement prices are in Canadian dollars per metric tonne.
SOYBEAN futures fell 19 to 23 cents per bushel Friday as Britain’s decision to exit the European Union roiled agricultural markets across the board.
The US dollar rose nearly two percent in early trading Friday which weighed heavily on the country’s soybean exports, a report said.
Temperatures in the US Midwest are expected to cool down in the coming days which also pressured prices, according to an analyst.
Soyoil finished 77 points lower, tracking losses in crude oil.
SOYMEAL futures dropped tracking soybeans.
Corn futures finished 2 to 3 cents per bushel lower Friday, largely as a result of the British vote on the EU. However, the market rebounded in the late-going to limit the damage.
The US corn crop appears to have made it out of a scorching weather period in the corn belt relatively unscathed, which was bearish.
The ethanol market appears to have been particularly hard-hit by the “Brexit” which also weighed on corn, an analyst said.
Wheat futures on the Chicago Board of Trade finished narrowly mixed Friday as traders exited the soon-to-expire July contract and staked out new positions amid market volatility.
Strength in the US currency weighed on the market.
Egypt reportedly blocked a US shipment of wheat entering the country due to the presence of Ergot fungus.
