By Dave Sims, Commodity News Service Canada
WINNIPEG, June 9 – Canola contracts on the ICE Futures Canada platform were lower at 10:52 CDT Tuesday, as strength in the Canadian dollar, relative to its US counterpart, made canola less attractive to domestic crushers and exporters.
Forecasts calling for rain in Alberta and parts of Saskatchewan later this week, were also bearish as the moisture is expected to alleviate intense dryness.
“It’s certainly a sign that some money is looking at that weather forecast,” said an analyst.
Traders were also positioning themselves ahead of tomorrow’s monthly crop supply and demand report by the USDA.
US soyoil was slightly weaker which contributed to the bearish tone.
However, gains in US soybeans and soymeal limited the losses.
Despite the new forecast calling for rain, many areas in the Prairies will likely need additional moisture while Manitoba may have too much in certain regions.
Around 12,200 contracts had traded as of 10:52 CDT, Tuesday.
Milling wheat, durum and barley were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:52 CDT:
