By Glen Hallick
Glacier FarmMedia | MarketsFarm – Intercontinental Exchange canola futures continued lower mid-morning Monday, abetted by a larger-than-expected canola crop and declines in comparable oils.
Last week, Statistics Canada pegged the canola harvest at a record 21.80 million tonnes, just as the market copes with little to no exports to China.
“The canola carryout is going to be crazy,” said an analyst, warning that StatCan could raise its production estimate come summer.
The trader said the nearby canola contracts could sink to lows not seen since China imposed their tariffs on the oilseed earlier this year.
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The Chicago soy complex and Malaysian palm oil were down, while MATIF rapeseed tacked on small gains. Weakness in crude oil weighed on the vegetable oils.
On Tuesday, the United States Department of Agriculture will release its next supply and demand report, including its world oilseed report.
The Canadian dollar was slightly higher at mid-session Monday, with the loonie at 72.25 U.S. cents, compared to Friday’s close of 72.15.
Approximately 43,850 canola contracts were traded as of 10:31 am CST, with prices in Canadian dollars per metric tonne:
Canola Jan 611.00 dn 6.90
Mar 624.10 dn 7.00
May 637.00 dn 6.80
Jul 645.90 dn 6.50
To access the latest futures prices, go to https://www.producer.com/markets-futures-prices/
