ICE canola futures weaken with soft vegoils, good weather

WINNIPEG, Manitoba, July 28 (Reuters) - ICE canola futures weakened on Monday as some competing vegoils fell and good Canadian weather increased expectations for the crop presently in the field.

• November canola RSX5 settled down $4.90 at $695.90 per metric ton. January RSF6 fell $4.60 to $705.80.

• Continued cool weather and significant rain in parts of the Canadian prairies are boosting chances for a better than expected crops, analysts and traders say.

• Much of Western Canada's canola crop is in good condition and in the pod-filling stage with excellent potential, but a significant minority of the canola area is caught in drought and will produce poor crops, analysts say.

• "Two-thirds are doing great and one-third are in trouble," said Wild Oats analyst John Duvenaud about what his farmer-clients are telling him.

• Chicago Board of Trade new crop soybean futures SX25 fell on good weather and improving crop prospects in the U.S. and soyoil futures BOv1 edged higher 0.02%.

• Euronext August rapeseed futures COMQ5 fell 1.79% in volatile trade.

• Malaysian palm oil futures FCPOc3 fell 0.70% on weakness in Asian markets, rising production and increasing stocks. POI/

• The Canadian dollar CAD= fell for a third straight session. CAD/