ICE Canola Down With Turnaround Tuesday Selling
| 1 min read
| By Phil Franz-Warkentin, Resource News International |
| Oct. 26, 2010 |
| Winnipeg – ICE Canada canola futures were weaker Tuesday morning in what was described as "turnaround Tuesday" selling, as participants took profits on Monday’s gains.
The market was looking a little overbought after yesterday’s rally and due for a correction, according to a trader. He said losses in other related commodities, including Malaysian palm oil and European rapeseed, along with calls for a weaker start in the Chicago soy complex, added to the weaker tone in canola. Ideas that Canada’s canola crop managed to turn out better than expected also accounted for some selling pressure in the market. However, prices were holding up reasonably well, with end users still showing demand. A slowdown in farmer selling was also supportive, as harvest operations near completion across most of western Canada. A slightly weaker tone in the Canadian dollar early in the day also helped limit the declines in canola, according to traders. In addition, the technical signals remain pointed higher after many months hit fresh contract highs on Monday. About 1,700 canola contracts had traded as of 8:30 CDT. Western barley futures were untraded and unchanged Tuesday morning. Prices in Canadian dollars per metric ton at 8:30 CDT: |
| Price | Change | ||
| Canola | |||
| Nov | 524.00 | dn 1.40 | |
| Jan | 533.50 | dn 1.60 | |
| Mar | 538.20 | dn 3.90 | |
| Western Barley | |||
| Dec | 180.00 | unch | |
| Mar | 185.00 | unch | |
