ICE Canola Contracts Up, Weak Cdn Dlr Spurs Buying
| 1 min read
| By Dwayne Klassen, Resource News International |
| October 26, 2010 |
| Winnipeg – Canola contracts on the ICE Futures Canada platform were trading at mainly higher price levels with the pull-back in the value of the Canadian dollar and steady end-user demand providing the upward price momentum, market watchers said.
Support in canola was also coming from a drop off in the level of farmer deliveries into the canola cash pipeline, brokers said. Some light chart based speculative buying and some light commercial pricing of old export business contributed to the strength displayed by canola, traders said. Local participants were also some of the featured buyers of canola. The absence of willing sellers helped to amplify the price advances in canola. The upside in canola was being limited in part by some weakness in CBOT soybean and soyoil values. Profit-taking at the highs, and some overbought price sentiment also was helping to restrict the price gains in canola. There were an estimated 15,518 canola contracts traded at 10:58 CDT. Of the contracts traded, 8,982 were spread related. There were no western barley futures traded as of 10:58 CDT.
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