Crop futures retreated Tuesday on a lack of fresh bullish news about Russia’s wheat problems and on ideas that American crops are doing well.
In oilseeds, canola was pulled down by soybeans, which dropped partly because the weekly crop ratings released late Monday showed conditions were steady. The market had expected a drop because of heat in the U.S. Midwest.
Oilseeds were also weakened by lower crude oil prices.
The weaker Canadian dollar limited canola’s fall.
The market will take interest in the next U.S. Department of Agriculture production report due Thursday.
Heat, drought and wild fires continued in Russia with no end in sight this week.
U.S. agriculture secretary Tom Vilsack said wheat production in the United States and other countries will be enough to avoid shortages.
In Winnipeg, November canola fell $5.40 per tonne to $462 on 7,382 trades.
The January contract fell $5.10 to $465.40 on 1,812 trades.
The previous day’s best basis was unchanged at $18 per tonne under the November contract in the par region, according to the Winnipeg ICE Futures daily report.
The 14-day Relative Strength Index for November fell to 53 according to BarChart.com. The rule of thumb is an RSI of 30 indicates an over sold market and 70 indicates an over bought market.
The Canadian dollar at noon was 96.64 cents US, down from 97.41 the previous trading day. The U.S. dollar at noon was $1.0348 Cdn.
Winnipeg October barley was revised up $5 to $168 and December rose $5 to $180. There was no trade.
Chicago August soybeans fell 12.25 cents to $10.3625 US per bushel. September fell 12.25 cents to $10.2125. New crop November fell 13 cents to $10.22.
September oats fell 8.25 cents to $2.715 per bu. December oats fell 8.25 cents to $2.84 per bu.
In New York, crude oil for September delivery fell $1.23 to $80.25 per barrel.
