ICE Canola Futures Climb As Weather Concerns Continue
| 1 min read
| By Dwayne Klassen, Resource News International |
| July 12, 2010 |
| Winnipeg – Canola contracts on the ICE Futures Canada platform were trading at steady to higher levels at 9:34 EDT. Continued concerns about growing conditions across the Canadian prairies for canola, provided some of the upward price momentum, market watchers said.
Sentiment that conditions for the development of the US soybean crop are also less than perfect was also helping to generate some strength for canola, brokers said. The lack of South American soybeans being made available to the world market, also was seen as an underpinning price in fluence for canola. Small gains overnight in Malaysian palm oil were also seen as supportive. Some light domestic crusher demand and the covering of old export business to Japan was helping to keep a firm price floor under canola, traders said. The upside in canola was being limited by the lower calls for CBOT soybean and soyoil values with the start of the North American day session. Traders were also expecting canola to be kept on the defensive by producer deliveries of the commodity as cash bids approach the C$10 per bushel in the countryside. The upside also was seen being restricted by technical resistance, particularly the nearby November contract, brokers said. As of 9:34 am EDT, there were 1,687 canola contracts traded. As of 9:34 am EDT, no western barley contracts had been traded. |
