Canola sank below $500 a tonne today, which was a difficult trading day for most grains and oilseeds.
November canola futures fell $18.30 per tonne in Winnipeg, closing the day at $490.50 per tonne.
The 3.6 percent loss pushed canola below $500 a tonne for the first time since mid-June.
Traders attributed the dive to funds exiting long positions and improved prospects for canola production in Western Canada.
Alberta received badly needed rain over the weekend, and forecasters expect rain in Saskatchewan early this week.
A sharp drop in soybean futures in Chicago also contributed to the canola decline.
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August soybeans closed the day at $9.6125 per bushel, down 30 cents on the day.
Nearby bean contracts have declined more than 60 cents per bu. since the middle of July on news of better soybean conditions in the United States.
Reuters said Monday that 63 percent of the soybean crop is good to excellent, above the five year average for late July.
Corn futures also took a beating today. The September contract in Chicago dropped 19.5 cents to finish at $3.73 per bu.
Spring wheat in Minneapolis was more resilient. Futures sank 8 cents to close at $5.37 per bu.
A dramatic drop in Chinese stock markets may have exacerbated weakness in grain and oilseed values.
The Shanghai Composite Index plummeted 8.5 percent, the largest one day decline since 2007.
The Wall Street Journal said more than half the stocks in the Shanghai Composite hit their down limit today, including a large number of major firms.
Analysts said investors were worried about Chinese government intervention in the market. Investors sold on expectations that the government would curtail purchases of blue chip stocks.
Light crude oil nearby futures in New York was down 75 cents to US$47.39 per barrel.
The Canadian dollar at noon was US76.87 cents, up from 76.57 cents the previous trading day. The U.S. dollar at noon was C$1.3009.
Winnipeg ICE Futures Canada dollars per tonne
Canola Nov 2015 490.50 -18.30 -3.60%
Canola Jan 2016 491.00 -18.00 -3.54%
Canola Mar 2016 489.20 -17.60 -3.47%
Canola May 2016 485.20 -18.00 -3.58%
Canola Jul 2016 480.00 -18.00 -3.61%
Milling Wheat Oct 2015 221.00 -3.00 -1.34%
Milling Wheat Dec 2015 221.00 -3.00 -1.34%
Milling Wheat Mar 2016 225.00 -3.00 -1.32%
Durum Wheat Oct 2015 335.00 unch 0.00%
Durum Wheat Dec 2015 345.00 unch 0.00%
Durum Wheat Mar 2016 360.00 unch 0.00%
Barley Oct 2015 210.10 -2.00 -0.94%
Barley Dec 2015 210.10 -2.00 -0.94%
Barley Mar 2016 212.10 -2.00 -0.93%
American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound
Chicago
Soybeans Aug 2015 961.25 -30 -3.03%
Soybeans Sep 2015 939.25 -28 -2.89%
Soybeans Nov 2015 933.25 -31.75 -3.29%
Soybeans Jan 2016 939.5 -31.25 -3.22%
Soybeans Mar 2016 937.5 -29.75 -3.08%
Soybeans May 2016 933.25 -26.75 -2.79%
Soybean Meal Aug 2015 344.2 -10.6 -2.99%
Soybean Meal Sep 2015 335.2 -10.2 -2.95%
Soybean Meal Oct 2015 324.3 -12.5 -3.71%
Soybean Oil Aug 2015 30.11 -0.37 -1.21%
Soybean Oil Sep 2015 30.2 -0.36 -1.18%
Soybean Oil Oct 2015 30.28 -0.36 -1.17%
Corn Sep 2015 373 -19.5 -4.97%
Corn Dec 2015 383.5 -19.25 -4.78%
Corn Mar 2016 394.25 -18.5 -4.48%
Corn May 2016 400.25 -18 -4.30%
Corn Jul 2016 405.25 -17.5 -4.14%
Oats Sep 2015 226 -2.75 -1.20%
Oats Dec 2015 238.75 -3.75 -1.55%
Oats Mar 2016 250.75 -3 -1.18%
Oats Jul 2016 256.5 -3 -1.16%
Wheat Sep 2015 502.5 -9.25 -1.81%
Wheat Dec 2015 511.75 -8 -1.54%
Wheat Mar 2016 519.25 -7.75 -1.47%
Wheat May 2016 523.5 -7.75 -1.46%
Wheat Jul 2016 525.5 -7 -1.31%
Minneapolis
Spring Wheat Sep 2015 537 -8 -1.47%
Spring Wheat Dec 2015 554.5 -8 -1.42%
Spring Wheat Mar 2016 571 -7.25 -1.25%
Spring Wheat May 2016 581.5 -6.75 -1.15%
Spring Wheat Jul 2016 590.5 -5.75 -0.96%
Kansas City
Hard Red Wheat Sep 2015 499.25 -8 -1.58%
Hard Red Wheat Dec 2015 519.25 -8 -1.52%
Hard Red Wheat Mar 2016 533.5 -8.25 -1.52%
Hard Red Wheat May 2016 543 -7.5 -1.36%
Hard Red Wheat Jul 2016 550 -7.75 -1.39%
