ICE Canola Down On Weather, Outside Markets
| 1 min read
| By Phil Franz-Warkentin, Resource News International |
| July 6, 2009 |
| Winnipeg – ICE Canada canola futures were lower in thin overnight activity, pressured by losses in most outside markets and ideas that crop conditions were generally favourable over the weekend.
The CBOT soy complex, Malaysian palm oil, and European rapeseed were all lower in overnight activity, creating some spillover selling in the canola market, according to traders. Losses in crude oil and the outside equity markets also accounted for some of the bearishness in the agricultural commodities. While precipitation in Alberta and Saskatchewan over the weekend was described as "too little, too late" by some market participants, conditions were seen as improving overall, which should also weigh on prices, said traders. A weaker tone in the Canadian dollar should provide some underlying support for canola, said traders. Reluctant farmer selling could also help temper the downside. Early activity in canola was light, with 600 contracts having been traded as of 8:45 CDT. Western barley futures were untraded in overnight activity, but could be headed lower given the calls for a weaker start in CBOT corn. Prices in Canadian dollars per metric ton at 8:45 CDT: |
| Price | Change | ||
| Canola | |||
| Nov | 450.10 | dn 8.40 | |
| Jan | 454.80 | dn 8.10 | |
| Mar | 467.20 | unch | |
| Western Barley | |||
| Oct | 174.20 | unch | |
| Nov | 193.00 | unch | |
