By Dave Sims, Commodity News Service Canada
WINNIPEG, June 8 – Canola contracts on the ICE Futures Canada platform were mostly higher on two-sided trade at 10:50 CDT Monday as strength in US soybeans and soymeal boosted values.
Dry conditions throughout the Prairies have the potential to lower yields, according to a report.
“We’re getting to a critical standpoint where we need to see some more rain in those critical areas. I expect choppy trade to continue until we get a better handle on the weather,” said a trader, adding the situation had sparked some profit-taking.
However, weakness in US soyoil limited the gains.
The Canadian dollar was firmer against its American counterpart, which made canola less desirable on the international stage.
The market is consolidating as investors try to get a better sense of this year’s crop outlook, said a participant.
Around 13,300 contracts had traded as of 10:50 CDT, Monday.
Milling wheat, durum and barley were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:50 CDT:
