By Dave Sims, Commodity News Service Canada
WINNIPEG, June 20 – Canola contracts on the ICE Futures Canada platform were weaker at 10:40 CDT on Monday, tracking losses in the US soy market and the stronger Canadian currency.
The Canadian dollar was higher relative to its US counterpart, which made canola more attractive to domestic crushers and out-of-country buyers.
Malaysian palm oil futures were also lower which weighed on prices.
Traders continue to exit the July contract in favour of the November one, a trader in Winnipeg said.
“Many traders are taking a wait and see, they’ve gotten beaten up with forecast to forecast, one minute flying higher the next crashing down, so I think that’s taken some of the volume out of the market as well,” he explained.
However, strength in crude oil helped limit the losses.
Recent rain in Western Canada has left standing water in some low-lying areas, the trader said.
About 14,000 canola contracts had traded as of 10:40 CDT.
Milling wheat, barley and durum were untraded and unchanged.
