By Dave Sims, Commodity News Service Canada
WINNIPEG, July 17 – Canola contracts on the ICE Futures Canada platform were mostly stronger in choppy trade at 10:38 CDT on Monday, as traders took turns wondering whether the market was going to turn higher or lower.
“This thing is directionless, no one is sure,” said a trader in Winnipeg. “It all comes back to the weather.”
Many canola fields in southern Saskatchewan and Alberta are suffering from heat blast, however that has been offset by forecasts calling for rain later this week.
“Some canola is being written off,” the trader added. “Maybe not completely written off but you’re talking five to ten bushels an acre kind of stuff.”
Gains in the US soy complex were supportive for the market.
However, losses in vegetable oil capped the gains and the bias is pointed lower.
Recent strength in the Canadian dollar was bearish for canola.
About 4,300 canola contracts had traded as of 10:38 CDT.
Milling wheat, barley and durum were all untraded.
Prices in Canadian dollars per metric ton at 10:38 CDT: