ICE Canola Firm, But Upside Limited
| 1 min read
| By Phil Franz-Warkentin, Resource News International |
| May 3, 2010 |
| Winnipeg – ICE Canada canola futures were holding onto small gains Monday morning, seeing some follow- through from Friday’s firmer close. However, the market was choppy and traders cautioned that prices could easily turn lower.
Calls for a slightly firmer start to the North American session for the CBOT soy complex were providing some spillover support for canola. Malaysian palm oil and European rapeseed futures also posted small gains in overnight trade. However, an analyst said the strength in those outside markets wasn’t convincing enough to trigger a significant move in canola. Technical resistance limited the upside in canola, according to traders. Beneficial precipitation that fell across much of the Canadian Prairies was also serving to temper any advances in canola. However, more moisture will still be needed over the growing season, helping keep a weather premium in the market. The Canadian dollar was slightly firmer Monday morning, which put some downward pressure on canola values. About 310 canola contracts had traded as of 8:43 CDT. Spreading was a minor feature as participants move the last of their positions out of the nearby May contract. Western barley futures were untraded and unchanged in overnight activity. Prices in Canadian dollars per metric ton at 8:43 CDT: |
| Price | Change | ||
| Canola | |||
| Jul | 390.30 | up 0.40 | |
| Nov | 392.10 | up 0.50 | |
| Jan | 395.20 | unch | |
| Western Barley | |||
| Jul | 145.50 | unch | |
| Oct | 145.50 | unch | |
