By Dave Sims, Commodity News Service Canada
WINNIPEG, Aug. 31 (CNS) – Canola contracts on the ICE Futures platform were higher at midday Friday, bolstered by a light estimate for canola production and downward movement in the Canadian currency.
The Canadian dollar was roughly half a cent lower, compared to its American counterpart, which made canola more enticing to foreign buyers.
In its crop production forecast, Statistics Canada pegged the canola crop in 2018/19 at 19.2 million tonnes, which was down significantly from last year’s total of 21.3 million tonnes.
“However the upside potential is limited due to the massive soybean crop south of the border,” said a Winnipeg-based analyst.
Losses in soyoil dragged on values and crush margins remain under pressure.
About 9,000 canola contracts had traded as of 10:35 CDT. The canola market is closed Monday for a civic holiday in Canada.
Prices in Canadian dollars per metric ton at 10:35 CDT: