By Dave Sims, Commodity News Service Canada
WINNIPEG, June 26 – Canola contracts on the ICE Futures Canada platform were lower Monday morning due to strength in the Canadian currency.
The Canadian dollar was about a quarter of a cent higher relative to its US counterpart, which made canola less attractive to international buyers.
Weakness in Malaysian palm oil was bearish for the market.
Weather conditions for the development of canola have been relatively favourable in recent days, which undermined prices.
The technical bias is pointed lower.
However, gains in the US soy complex helped limit the losses.
Some areas of Western Canada are dealing with excess water, which has thrown some caution into the market.
There are ideas the market is oversold.
Commercial stocks of canola are tight, which was supportive.
Milling wheat, barley and durum were untraded.
Prices in Canadian dollars per metric ton at 8:56 CDT:
