ICE Canola Futures Follow Outside Oilseeds Up
| 1 min read
| By Dwayne Klassen, Resource News International |
| August 4, 2010 |
| Winnipeg – Canola contracts on the ICE Futures Canada platform were trading at higher levels at 9:31 EDT. Gains overnight in the outside oilseed markets helped to propel canola futures higher, market watchers said.
Gains were seen in eCBOT soybean values overnight with European rapeseed futures also establishing new contract highs, brokers said. Malaysian palm oil values also settled with advances overnight. Higher calls for CBOT soybean futures with the start of the North American day session also helped to stimulate the buying that surfaced in canola, traders said. Continued talk of fresh export demand for canola was helping to keep a firm floor under canola with ongoing production concerns for the crop in western Canada and for rapeseed in Europe contributing to the strength in the market, brokers said. Steady domestic crusher demand and the pricing of old export business was also seen providing some underlying support for canola. The upside in canola was being limited by steady hedge selling by elevator companies as producers remain steady sellers of canola into the cash pipeline, traders said. Firmness in the Canadian dollar was also seen as an undermining price influence. As of 9:31 EDT, there were 1,962 canola contracts traded. As of 9:31 EDT, no western barley contracts had been traded. |
