By Terryn Shiells, Commodity News Service Canada
June 25, 2013
WINNIPEG – Canola contracts on the ICE Futures Canada platform were mostly lower Tuesday morning, as Statistics Canada’s canola acreage figure was in line with expectations, analysts said.
StatsCan reported intended canola area of 19.738 million acres in 2013/14, up from their March estimate of 19.133 million but down from the 21.531 million planted in 2012. The trade had expected anywhere from 19.100 to 20.000 million acres.
Some of the selling in canola was linked to forecasts calling for more beneficial weather for canola crop development across western Canada this week, analysts said.
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Weakening in the cash market in western Canada further weighed on prices, as did a slowdown in demand from exporters and crushers.
However, tight old crop supply concerns helped the nearby July contract move to higher ground, as did some technical based buying.
The downswing in the value of the Canadian dollar helped to limit the market’s downside potential, as did spill over support from the gains seen in outside oilseed markets.
As of 8:49 CDT, about 1,365 canola contracts had traded.
Milling wheat, barley and durum were untraded and unchanged Tuesday morning.
Prices in Canadian dollars per metric ton at 8:49 CDT:
