ICE Canola Strengthens With Crop Concerns

By Phil Franz-Warkentin, Commodity News Service Canada
Sept. 19, 2012
Winnipeg – Canola contracts on the ICE Futures  Canada platform were stronger at 10:55 CDT Wednesday, as speculators  and commercials were both noted buyers.
Yield projections continue to deteriorate across parts of  western Canada as farmers move forward with their harvest operations.  Demand will need to be rationed heading through the crop year, which  helped support canola, according to a broker.
Gains in CBOT soybeans did provide spillover support for canola  as well, although traders noted that canola had already moved higher  on Tuesday when soybeans had traded at softer levels. As a result,  the advances in canola were somewhat subdued.
Steady farmer deliveries did temper the gains in canola as well,  according to participants. However, farmers were reluctant to make  any new sales as they contemplate the likelihood of smaller crops,  a broker added.
The strength in the Canadian dollar did remain a bearish price  influence overhanging the canola market. The potential for a large  South American soybean crop to resupply the global oilseed market also  limited the upside potential.
At 10:55 CDT, about 4,200 canola contracts had changed hands.
Milling wheat, durum, and barley futures were all untraded and  unchanged.
Prices in Canadian dollars per metric ton at 10:55 CDT:Price      Change

Canola            Nov     633.40    up 7.00

Jan     637.10    up 6.90

Mar     637.70    up 6.30

Milling Wheat     Oct     292.20      unch

Dec     298.00      unch

Durum             Oct     310.10      unch

Dec     314.60      unch

Barley            Oct     250.30      unch

Dec     255.30      unch

Commodity futures

Futures Prices as of May 21, 2013

Canola Price Change
November633.407.00
January637.106.90
March637.706.30
Milling Wheat Price Change
October292.20
December298.00
Durum Price Change
October310.10
December314.60
New Barley Price Change
October250.30
December255.30

Prices are in Canadian dollars per metric ton

Respond





You can use these tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>

COPA MedallionAGCanada.com was a 2012 COPA Finalist.
©2013 AGCanada is a production of FBC Limited Partnership a division of Glacier Media Inc.
Please refer to Copyright Page for details.