ICE Canola Higher with Argentina Dryness
By Brent Harder
| 1 min read
| By Brent Harder, Commodity News Service Canada |
| January 4, 2011 |
| Winnipeg – January 4 – Canola contracts on the ICE Canada platform were mostly higher at 08:30 CST Tuesday, with continued dryness in Argentina lifting values. The South American nation did receive some rain over the weekend, but not enough to alleviate the dryness that is affecting their soybean crop, analysts said.
Overnight gains by e-CBOT soybeans, Malaysian palm oil, and European rapeseed helped send canola values higher Tuesday morning, experts said. Steady demand from crushers in western Canada is expected to continue into 2011, which was providing a solid floor for values, market watchers said. However, gains were small as the market was recovering from sharp losses by soybeans on Monday, when the Canadian markets were closed. Soybeans dropped 20 to 24 cents on Monday, as the Chicago Board of Trade did not take an extended break to observe New Year’s Day. The Canadian dollar was stronger this morning, and continues to trade above parity with its US counterpart, limiting advances in the market, brokers said. Market watchers said a lack of fresh export business was also restricting canola’s advances. At 08:30 CST, there had been about 1,500 canola contracts traded. Western barley futures were unchanged and untraded early Tuesday. Prices in Canadian dollars per metric ton at 08:30 CST: |
| Price | Change | ||
| Canola | |||
| Mar | 589.10 | dn 0.20 | |
| May | 593.60 | up 0.10 | |
| Nov | 532.80 | up 0.80 | |
| Western Barley | |||
| Mar | 194.00 | unchanged | |
| May | 194.00 | unchanged | |
