ICE Canola Continues Higher On Weather Concerns
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| By Phil Franz-Warkentin, Resource News International |
| June 14, 2010 |
| Winnipeg – ICE Canada canola futures were stronger Monday morning, as ongoing weather concerns in western Canada continue to prop up the market.
Excessive moisture across large areas of Saskatchewan and Manitoba will leave many canola acres unseeded this year, with already planted fields also expected to see some damage. Traders are still trying to get a handle on the extent of the crop losses, but analysts said the uncertainty should keep prices well supported. A lack of farmer selling, favourable technical signals, and calls for a higher start in the CBOT soy complex were also helping underpin the canola market, according to traders. Overnight gains in Malaysian palm oil futures provided further support. Ideas that the rally in canola may be looking a little overdone, leaving the market open to a profit-taking correction, limited the advances in canola, according to traders. The stronger Canadian dollar was also tempering the gains, as were the generally favourable weather conditions for the US soybean crop. About 3,000 canola contracts had traded as of 8:28 CDT. Western barley futures were untraded and unchanged early in the day. Prices in Canadian dollars per metric ton at 8:28 CDT: |
| Price | Change | ||
| Canola | |||
| Jul | 398.00 | up 2.60 | |
| Nov | 404.60 | up 4.10 | |
| Jan | 408.80 | up 3.90 | |
| Western Barley | |||
| Jul | 147.50 | unch | |
| Oct | 145.00 | unch | |
