By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, August 11 – Canola contracts on the ICE Futures Canada platform were lower at midday Tuesday, seeing a modest correction following Monday’s gains.
A downturn in the CBOT soy complex, triggered in part by a move by China to devalue its currency, contributed to the softer tone in canola, according to a broker.
Monday’s gains also brought in some farmer selling, as producers are said to be busy cleaning out some bin space ahead of the harvest.
On the other side, the Canadian dollar was sharply weaker at midsession, which “is keeping a bid underneath the market,” said a broker. The softer currency makes exports more attractive and also boosts crush margins.
The USDA releases its first survey-based estimates on the size of the US soybean and corn crops on Wednesday, August 12, and positioning ahead of that report was a feature.
About 6,700 canola contracts had traded as of 10:57 CDT.
Milling wheat, durum, and barley were all untraded.
Prices in Canadian dollars per metric ton at 10:57 CDT:
