By Dave Sims, Commodity News Service Canada
WINNIPEG, August 26 – Canola contracts on the ICE Futures Canada platform were slightly weaker at 10:43 CDT on Friday, feeling pressure from declines in the US soy complex.
Ideas are growing that heavy rains across Western Canada this summer may have reduced the size of this year’s crop more severely than initially thought, according to a trader in Winnipeg.
“We have crop problems on the Prairies, a lot of areas are very wet,” he noted.
China is expected to clamp down on the amount of dockage allowed in imports of Canadian canola on September 1, which is causing some unease among traders.
However, gains in crude oil helped limit the losses.
Statistics Canada pegged this year’s production at 17 million tonnes, which is smaller than most analysts had predicted.
Canola is cheap compared to other oilseeds, according to a report.
About 8,000 canola contracts had traded as of 10:43 CDT.
Milling wheat, barley and durum were untraded.
Prices in Canadian dollars per metric ton at 10:43 CDT:
