By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Aug. 1 (CNS Canada) – ICE Canada canola contracts were weaker Tuesday morning, taking direction from the US soy complex.
US soybean condition ratings saw an unexpected improvement in the latest weekly USDA report, moving up two points in the good-to-excellent category. The resulting declines in Chicago Board of Trade soybeans accounted for much of the spillover selling pressure in canola.
Western Canadian crop conditions are also expected to see some improvement over the next week, as temperatures moderate and forecasts call for scattered showers.
However, there are still plenty of areas of concern across the Prairies, helping limit the losses. A slightly softer tone in the Canadian dollar relative to its US counterpart, tight old crop canola supplies, and a lack of significant farmer selling also served to limit the losses.
About 4,000 canola contracts had traded as of 8:54 CDT.
Milling wheat, durum, and barley futures were all untraded.
