ICE Canola Lower As Spec Selling Weighs
| 1 min read
| By Phil Franz-Warkentin, Resource News International |
| May 11, 2010 |
| Winnipeg – ICE Canada canola futures were weaker Tuesday morning, setting fresh contract lows in the most-active July contract as the market saw some follow-through on Monday’s lower close. Speculative selling added to the downturn, with sell-stops hit on the move lower.
Calls for a weaker start to the North American session for CBOT soybeans also put some pressure on canola, according to traders. Malaysian palm oil futures were also lower in overnight trade. Relatively favourable crop conditions across western Canada were also seen as bearish for canola prices, although recent cool temperatures were helping keep some weather-related support in the market, according to traders. A lack of farmer selling was also seen as supportive for canola. Exporter and domestic crusher demand helped limit the declines, although any buying interest was on a scale-down basis. The Canadian dollar was holding relatively steady Tuesday morning, after jumping sharply relative to its US counterpart on Monday. About 1,460 canola contracts had traded as of 8:43 CDT. 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 | 376.70 | dn 5.30 | |
| Nov | 379.40 | dn 5.00 | |
| Jan | 385.40 | dn 3.40 | |
| Western Barley | |||
| Jul | 145.50 | unch | |
| Oct | 145.50 | unch | |
