ICE Canola Lower In Profit-Taking Setback
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| By Phil Franz-Warkentin, Resource News International |
| July 23, 2010 |
| Winnipeg – ICE Canada canola futures were weaker Friday morning, as the selling pressure that materialized late in Thursday’s session continued in the overnight trade. However, volumes were light and some caution ahead of the weekend was expected to provide support, according to traders.
After hitting their highest levels of the recent rally, the canola market ran out of momentum to the upside on Thursday and profit-taking came forward to weigh on prices. In addition to the overbought price sentiments taking prices lower, a broker said farmer selling had also picked up, as strong bids in the countryside encourage some sales. Ongoing production uncertainty in western Canada does remain a supportive factor for canola, but a broker said most of the weather issues have been factored into the market for the time being. He added that forecasts are looking a little more favourable for crop development over the next few weeks, both in western Canada and for the US soybean crop. The Canadian dollar was slightly weaker Friday morning, providing little direction for canola. The Chicago soy complex was narrowly mixed in overnight trade. About 640 canola contracts had traded as of 8:28 CDT. Western barley futures were untraded and unchanged. Prices in Canadian dollars per metric ton at 8:28 CDT: |
| Price | Change | ||
| Canola | |||
| Nov | 458.30 | dn 2.60 | |
| Jan | 463.40 | unch | |
| Mar | 459.50 | dn 2.10 | |
| Western Barley | |||
| Oct | 156.50 | unch | |
| Dec | 156.50 | unch | |
