Profit taking after strong gains through the week was the feature of crop markets on Friday, including canola.
The market remains well supported by weather problems in Canada and Europe and worries about a possible heat wave in the U.S. Midwest next week.
A weaker loonie limited the fall in canola.
Chicago wheat and soybeans were also weaker on Friday on profit taking after strong gains on Thursday.
The outlook for hot dry weather in the Midwest in the second half of July provided a strong floor, preventing soy and wheat prices from falling too much. Corn rose.
The Saskatchewan Agriculture crop report said warmer weather has advanced crops, but most are still one two weeks behind normal. It said 73 percent of the canola crop is in good to fair condition, although 66 percent is behind normal development.
Last year at the same time, 80 percent was good to fair and 78 percent was behind normal development.
In Winnipeg, November canola slipped 60 cents per tonne to $455 on 8,092 trades.
Over the week, from the close July 9 to the close July 16, the contract rose $20.30.
The January contract fell 80 cents Friday to $455.30 on 759 trades.
The previous day’s best basis was $5 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 was 86 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 94.9 cents US, down from 96.13 cents at noon the previous trading day. The U.S. dollar at noon was $1.0537. A weaker than expected report on U.S. consumer sentiment for July and evidence of slowing in the Chinese economy hit the value of the loonie as traders questioned future demand for the commodities that Canada produces, such as oil and minerals.
The Bank of Canada will update its interest rate policy on Tuesday.
Winnipeg October barley was steady and untraded at $156.50 and December was $156.50.
Chicago August soybeans rose 0.5 cents to $10.195 US per bushel. September fell three cents to 9.98. New-crop November fell three cents to $9.85.
September oats fell one cent to $2.675 per bu. December oats fell 0.5 cents to $2.75 per bu.
In New York, crude oil for August delivery fell 61 cents to $76.01 US per barrel.
The Canadian Oilseed Processors Association reported that members crushed 109,970 tonnes of canola in the week ending July 14, up 2.2 percent from the week before.
That represented a capacity use of 85.6 percent.
To date, the crush stands at 4.36 million tonnes, up from 3.87 million at the same time last year.
