ICE Canola Futures Hold Firm On Frost Concerns
| 1 min read
| By Dwayne Klassen, Resource News International |
| September 16, 2010 |
| Winnipeg – Canola contracts on the ICE Futures Canada platform were trading at steady to slightly firmer price levels at 9:31 EDT. The slow pace of harvest activities in western Canada and the vulnerability of canola crops to frost continued to provide a firm price floor for values, market watchers said.
The wet, cool weather in Western Canada has slowed the canola Market participants noted that the frost news has not exactly enticed fresh buying, but rather has caused sellers to back away from the commodity due to the crop uncertainty. The pricing of old export business and some minor domestic crusher demand was helping to keep a firm price floor under canola. The advances in canola will be hard earned in view of the mixed e-CBOT soybean activity overnight and the losses experienced by European rapeseed and Malaysian palm oil futures, traders said. The upside was also being limited by the massive old crop supply of canola on farms in western Canada and the record sized US soybean crop about to be harvested, brokers said. Continued firmness in the Canadian dollar was also viewed as an undermining price influence for canola. As of 9:31 EDT, there were 1,652 canola contracts traded. As of 9:31 EDT, no western barley contracts had been traded |
