Prices of Canada's major commodity exports eased further in June, falling 0.3 per cent as oil and gas prices fell. The data, contained in Scotiabank's monthly commodity price index, shows that despite the decline, prices are still off only 2.8 per cent from the April near-term peak and remain 55.3 per cent above their cyclical low in April 2009. After falling 3.2 per cent in June, the oil and gas index has rallied back in late July, with crude oil prices returning to about $99 USfor West Texas Intermediate and $118 US for Brent crude from the North Sea. This occurred after only a brief retreat spurred by the planned "strategic release" of 60.6 million barrels of crude and refined products by the International Energy Agency, which actually fell short of its target by more than seven million barrels, said the report's author, commodity market specialist Patricia Mohr. For the June period, which follows an overall index decline of 2.6 per cent in May, the metal and mineral index edged up 0.1 per cent monthover-month, lifted by rising copper prices. Spot potash prices also advanced. Forest products posted gains in June, with the index rising 1.4 per cent on seasonally stronger lumber and oriented strand board prices as U.S. housing starts strengthened.

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