Canola futures joined wheat and corn in a move lower on Monday as investors worried about the Greek debt crisis, Chinese inflation and slow U.S. growth.
Positive signs that the Greek parliament will pass austerity legislation this week lifted stock markets, but the mood in commodities remained nervous with major funds liquidating their positions.
Soybeans edged higher on short covering.
Wheat prices are under pressure from the rapidly progressing U.S. winter wheat harvest. Also, weather in the U.S. Midwest and in western Europe is conducive to good crop growth.
Traders are eagerly anticipating the U.S. Department of Agriculture reports on acreage and stocks due Thursday.
Crops in the U.S. deteriorated slightly in the last week. The USDA condition report released today said corn was 68 percent good to excellent, down from 70 percent the week before and 73 percent a year ago.
Soybean condition was 65 percent good to excellent, down from 68 percent a week ago and 67 percent a year ago.
Spring wheat was 69 percent good to excellent, down from 72 percent the week before and 84 percent a year ago.
Winnipeg (per tonne)
Canola Jul 11 $578.30, down $1.50
Canola Nov 11 $565.20, down $0.70
Canola Jan 12 $572.10, down $0.90
Canola Mar 12 $576.30, down $0.90
The previous day’s best basis is $0 under the July contract according to ICE Futures Canada in Winnipeg.
The July contract’s 14-day Relative Strength Index was 48. The rule of thumb is an RSI of 30 indicates an over sold market and 70 indicates an over bought market.
Western Barley Jul 11 $205, unchanged
Chicago (per bushel)
Soybeans Jul 11 $13.2975, up 9.5
Soybeans Aug 11 $13.2275, up 7.75
Soybeans Nov 11 $13.15, up 5.75
Corn Jul 11 $6.6075, down 9.25
Corn Dec 11 $6.2675, down 5.25
Oats Jul 11 $3.33, down 2.5
Oats Dec 11 $3.41, down 7.0
Minneapolis (per bushel)
Spring Wheat Jul 11 $8.0575, down 20.25
Spring Wheat Sep 11 $8.0275, down 15.75
Spring Wheat Dec 11 $8.085, down 15.25
Light crude oil nearby futures in New York fell 55 cents to $90.61 US per barrel.
The Canadian dollar at noon was $1.0141 US, down from $1.0153 the previous trading day. The U.S. dollar at noon was 98.61 cents Cdn.
The Toronto Stock Exchange composite index unofficially closed up 57.60 points, or 0.45 percent, at 12,966.49.
The Standard & Poor’s 500 Index added 11.65 points, or 0.92 percent, to 1,280.10.
