By Jade Markus, Commodity News Service Canada
WINNIPEG, July 11 – ICE Canada canola contracts were lower at midday on Tuesday, pressured by uncertainty in weather-based trade.
“Well, it’s still jittery, jumpy markets,” said one Winnipeg-based trader.
He added that scattered showers across the Prairies are responsible for the weaker tone, as that moisture will benefit parched crops.
However, the market may hold onto its premium, as a significant amount of speculation remains about this year’s production.
“There’s just too much uncertainty in all the canola numbers; we’re not certain about this year, we’re not certain about acres, we’re not certain about yields,” the trader said.
However, the Canadian dollar was weaker at midday on Tuesday, which also limited the market’s downside.
A weaker loonie makes Canadian commodities more appealing to international buyers.
About 10,018 contracts had traded as of 10:48 a.m. CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged.
