By Phil Franz-Warkentin and Jade Markus, Commodity News Service Canada
Winnipeg, Feb. 3 (CNS Canada) – ICE Futures Canada canola contracts posted small losses to end the week, as traders booked profits on the recent gains.
Sharp losses in Chicago Board of Trade soyoil and a firmer tone in the Canadian dollar contributed to the declines in canola, as crush margins deteriorated to their lowest levels in months.
Updated stocks data from Statistics Canada did little to move the market. Canadian canola stocks, as of December 31, 2016, were pegged at 12.159 million tonnes, which was down from the year-ago level and the five-year average. While the tighter stocks were a bit supportive, the number was in line with trade guesses and the late harvest has many analysts of the opinion that actual supplies are likely a bit larger than reported.
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About 12,442 canola contracts were traded on Friday, which compares with Thursday when 18,768 contracts changed hands. Spreading accounted for 7,820 of the contracts traded.
Milling wheat, durum, and barley were all untraded, although prices were revised after the close.
SOYBEAN futures at the Chicago Board of Trade closed seven to 10 cents per bushel weaker on Friday, pressured by Argentinian production.
Argentina’s seeding is finished, reports out of the country say, which is bearish.
The country’s crops are largely in favourable condition, market watchers say, adding to the downside.
Spill-over losses from the nearby soyoil market further pressured values.
SOYOIL prices closed lower on Friday. Overnight weakness in Malaysian palm oil was one source of pressure.
SOYMEAL closed weaker on Friday.
CORN futures declined about two cents per bushel on Friday.
The grain felt the effects of technical selling pressure, after advancing in earlier sessions.
Mostly-finished Argentinian seeding added to the downside.
WHEAT closed about four cents per bushel lower on Friday, declining amid a lack of fresh news.
Spill-over losses in the corn and soybean market furthered the downside.
Profit-taking was also a feature.
