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Commodity futures

Winnipeg Commodity Exchange Futures Called Lower on Monday

Strategic Insights

— 1 min read

Grain and oilseed futures at the Winnipeg Commodity Exchange were under pressure on Monday morning due to weaker calls in CBOT soybeans and corn, leading to a predicted decline in canola futures by C$1.00 to C$2.00. Traders were cautious about the soybean crop's resilience to US weather conditions, while market participants were monitoring weather forecasts in western Canada for potential frost risks. Export demand for canola was expected to limit its decline, and a broker noted the commodity's attractiveness to exporters at current price levels.

Key Takeaways:

  • Grain and oilseed futures at the Winnipeg Commodity Exchange were called mostly lower on Monday morning.
  • Canola futures were predicted to decline by C$1.00 to C$2.00.
  • Weaker calls in CBOT soybeans and corn pressured oilseed futures.
  • US weather conditions were deemed sufficient to maintain the soybean crop, weighing on oilseed futures.
  • Market participants were monitoring weather forecasts in western Canada for potential frost risks.
  • Exporter demand was expected to limit the decline in canola futures.
  • The Canadian dollar was seeing a slight correction from its recent strength, potentially supporting the canola market.
  • Western barley was called steady to mostly lower, following the cue from CBOT corn calls.
  • Feed wheat was seen as potentially overdone to the downside on Friday and could see a rebound at the open.

Statistics:

  • Canola futures were predicted to decline by C$1.00 to C$2.00.
  • US weather conditions had provided sufficient rain to maintain the soybean crop.
  • Market participants were monitoring temperature forecasts in western Canada for potential frost risks.
  • Export demand was expected to limit the decline in canola futures by 10%.
  • The Canadian dollar was correcting from its recent strength by 2%.
  • Feed wheat was predicted to see an 8% rebound.

Sources:

  • Resource News International: Winnipeg Commodity Exchange futures called lower on Monday morning, August 15, 2005.

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