By Terryn Shiells, Commodity News Service Canada
August 16, 2013
WINNIPEG – ICE Futures Canada canola contracts closed mostly weaker on Friday, following the losses seen in Chicago soybeans and soyoil, analysts said.
The liquidation of positions ahead of the weekend also helped to fuel some of the downward price slide.
Forecasts calling for beneficial warmer weather over the next few days across the Prairies, which could help speed up crop development, were also bearish.
Farmer selling picked up at the highs of the day and was also responsible for some of the price softness.
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However, a pick up in buying interest from crushers, due to the downswing in the value of the Canadian dollar, limited the declines.
The need to keep a weather premium built into prices, due to concerns about slow crop development and early frosts, kept a firm floor under the market.
Trade volume was light with a small amount of spreading, which led to volatile and choppy activity throughout the day. About 8,730 canola contracts were traded on Friday, which compares with Thursday when 19,658 contracts changed hands.
Milling wheat, durum and barley futures were untraded and unchanged on Friday after wheat experienced some slight price revisions after the close on Thursday.
Settlement prices are in Canadian dollars per metric ton.
