By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, June 23 – Canola contracts on the ICE Futures Canada platform were mostly lower at midday Tuesday, as the market corrected after hitting fresh highs on Monday.
The nearby July contract was posting the largest losses, as speculators were liquidating positions in the front month. Farmer selling was also behind some of the weakness, with reports of cash bids over C$11 per bushel in parts of Western Canada said to be encouraging some sales.
Losses in the CBOT soy complex contributed to the correction lower in canola.
However, the new crop months lagged to the downside.
Hot and dry weather conditions across Western Canada remain a major supportive influence in canola, keeping the market well supported, according to a broker. A softer tone in the Canadian dollar was also said to be underpinning the futures.
About 19,000 canola contracts had traded as of 10:53 CDT.
Milling wheat and durum were both untraded, while barley was lower with 25 contracts traded.
Prices in Canadian dollars per metric ton at 10:53 CDT:
