By Dave Sims, Commodity News Service Canada
WINNIPEG, May 25 – Canola contracts on the ICE Futures Canada platform were slightly lower at 10:35 CDT on Thursday, due to losses in soybeans and favourable weather forecasts for much of Western Canada.
There are ideas some US farmers may be preparing to swap out acres intended for corn with soybeans, which pressured oilseed markets.
“The forecast looks like we might get a couple of weeks of decent weather across the Prairies,” noted a trader in Winnipeg.
Some of the deferred contract months have either broken below major support levels or are testing them.
However, the Canadian dollar was weaker compared to its US counterpart, which made canola more enticing to international buyers.
Gains in US soyoil and Malaysiam palm oil futures helped prop up values.
Recent rain in central Alberta means canola planting in that province will almost certainly stretch into June, which was bullish.
About 4,000 canola contracts had traded as of 10:35 CDT.
Milling wheat, barley and durum were all untraded.
Prices in Canadian dollars per metric ton at 10:35 CDT:
