It’s all about currency this morning. Unable to continue to consolidate at yesterday’s opening value the AUD slipped to its lowest level since mid May when it spent a couple of weeks around this level. Canola was around $570 NTP Newcastle at that time.
The weaker AUD should go a long way to counter any potential downside being reflected in lower canola futures on Friday night.

With the holiday’s drawing nearer futures volume in the US and Europe will begin to drop. Volatility may still be there but without the huge injection of volume some of the fund managers create most punters are expecting a relatively range bound market over the next couple of weeks.
Hot dry weather in Argentina is keeping the soybean market supported but the weather map is showing that a few showers and cooler temperatures should bring some relief to the crop there next week. Export demand for US beans remains high and is also supportive of current values. Look for local canola values to open higher on Monday. The move in currency alone is worth at least $5.

The lowest price on the Tunisia durum tender was for 50kt at $US269.69 / tonne C&F. Officials confirm that no purchases have been confirmed as yet but we should hear something by Wednesday.