ICE Canola Strengthens Following Soybeans, But C$ Weighs
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| By Phil Franz-Warkentin, Resource News International |
| March 29, 2010 |
| Winnipeg – ICE Canada canola futures were higher Monday morning, with spillover from the strength seen in some of the outside commodity markets providing some support. However, the firmer tone in the Canadian dollar limited the upside in canola.
Soybeans posted gains in overnight e-cbot activity and were expected to continue to show some strength as the North American session gets underway, which should be supportive for canola, according to traders. European rapeseed futures were also firmer in overnight activity, but Malaysian palm oil prices moved lower. Concerns about dry conditions in parts of Alberta and Saskatchewan also continued to provide some underlying support for canola, according to traders. An analyst said the technical signals remained slightly bearish for canola, limiting the upside. The strength in the Canadian dollar Monday morning also tempered the gains in canola. Activity was expected to be choppy in the agricultural markets this week, as participants await the USDA’s planting intentions and quarterly stocks reports due out on Wednesday. About 400 canola contracts had traded as of 8:49 CDT. Western barley futures were untraded and unchanged in overnight activity. Prices in Canadian dollars per metric ton at 8:49 CDT: |
| Price | Change | ||
| Canola | |||
| May | 383.60 | up 1.30 | |
| Jul | 389.30 | up 1.00 | |
| Nov | 390.50 | up 1.90 | |
| Western Barley | |||
| May | 154.00 | unch | |
| Jul | 145.00 | unch | |
