Canola futures prices followed soybeans down as worries about China’s oilseed demand continued.
The March contract fell below the psychologically important $400 per tonne level, prompting technically based selling. Milder weather also prompted more farmer deliveries and grain company hedging.
Also weighing on the market are indications that China has wrapped up its buying of American soybeans and is waiting for what is expected to be a bumper South American soybean harvest, with lower prices.
January canola, which is in delivery mode, closed at $401.40 per tonne, down $6.50 on no trades and no open interest.
Most actively traded March fell $6.50 to close at $399.40 on 8,353 trades.
May fell $6.50 to close at $406.10 on 849 trades.
The Bank of Canada at noon Friday said the Canadian dollar was worth 96.67 cents US, up slightly from 96.61 cents Jan. 7. The U.S. dollar was worth $1.0344 Cdn.
The Winnipeg January barley contract fell 90 cents to $156.30 with no trades. March also fell 90 cents to $153.10 on 135 trades.
Chicago March soybeans, the most active month, fell four cents to $10.22 US per bushel.
Light crude oil in New York for February delivery rose nine cents to $82.75 per barrel.
The Canadian Oilseed Processors Association said 74,470 tonnes of canola were processed in the week ending Jan. 6, down 5.9 percent from the week before but up from the 69,365 tonnes processed in the same week last year.
The crush capacity utilization rate was 71.6 percent, down from the week before.
In the year to date, crushers have processed 1.676 million tonnes of canola compared to 1.781 million tonnes in the same period last year.
