ICE Canola Futures Strengthen On Tight Soybean Supplies
| 2 min read
| By Dwayne Klassen, Resource News International |
| April 9, 2009 |
| Winnipeg – Canola contracts on the ICE Futures Canada platform were trading at higher price levels as of 9:49 EDT. Gains in canola were influenced by this morning’s updated supply/demand tables from the USDA which tightened old crop US soybean stocks and lowered Argentine soybean production, market watchers said.
Canola values also combined higher in anticipation of CBOT soybean and soyoil futures opening with strong advances with the start of the North American trading day, brokers said. Additional support in canola was seen stemming from Malaysian palm oil, which moved to new 6 month highs in overnight activity. Gains in canola will also be influenced by strong global crude oil values and the strong advances seen in the North American equity markets early Thursday, traders said. Steady domestic processor demand amid profitable crush margins and the pricing of routine export business were also providing a firm price floor for canola values. The upside in canola was being tempered by technical resistance and firmness in the Canadian dollar, traders said. Position evening ahead of the long holiday weekend was likely to be a feature of the activity Thursday. ICE Futures Canada will be closed on April 10 in observance of Good Friday. As of 9:49 am EDT, there were 2,782 canola contracts traded. At 9:49 am EDT, no western barley contracts had traded with prices unchanged. Prices in Canadian dollars per metric ton at 9:49 am EDT: Price Change W. Barley May $135.00 unch |
