By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Aug. 15 (MarketsFarm) – The ICE Futures canola market was sharply lower Monday morning, as losses in crude oil spilled over to weigh on world vegetable oil markets.
Chicago soyoil, European rapeseed and Malaysian palm oil futures were all weaker on the day, dragging canola down as well.
Relatively favouable Midwestern weather forecasts contributed to the declines in the North American grains and oilseeds, but hot temperatures and only minimal precipitation expected for the Canadian Prairies provided some underlying support for canola.
The Canadian dollar was down by nearly a cent relative to its United States counterpart in early activity, further helping temper the declines in canola as the softer currency should make exports more attractive to global buyers.
About 3,800 canola contracts had traded as of 8:41 CDT.
Prices in Canadian dollars per metric ton at 8:41 CDT:
Canola Nov 833.50 dn 29.50
Jan 840.50 dn 30.50
Mar 842.70 dn 33.80
May 844.30 dn 34.30
