ICE Canola Edges Lower, Consolidating
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| By Phil Franz-Warkentin, Resource News International |
| August 23, 2010 |
| Winnipeg – ICE Canada canola futures were steady to slightly weaker Monday morning, although activity was on the quiet side as the market was said to be seeing a bit of consolidation after Friday’s sharp declines.
An analyst said the market was still digesting the Statistics Canada production estimates released Friday. In the first official survey of the crop year, the government agency pegged Canada’s 2010/11 (Aug/Jul) canola crop at 10.867 million metric tons, which was down from the year ago level but still at the high end of trade estimates. Calls for early gains in the CBOT soy complex, along with overnight advances in Malaysian palm oil futures, were expected to provide some underlying support to canola, according to traders. However, losses in the European rapeseed market could be a bearish influence. The Canadian dollar was slightly firmer Monday morning, putting some downward pressure on canola values. However, steady exporter demand underneath the market was expected to provide some support. Technical chart support was also said to be holding after Friday’s declines. About 600 canola contracts had traded as of 8:40 CDT. Western barley futures were untraded and unchanged Monday morning. Prices in Canadian dollars per metric ton at 8:40 CDT: |
| Price | Change | ||
| Canola | |||
| Nov | 439.00 | dn 0.20 | |
| Jan | 443.40 | dn 0.10 | |
| Mar | 443.00 | dn 0.90 | |
| Western Barley | |||
| Oct | 168.00 | unch | |
| Dec | 183.00 | unch | |
