ICE Canola Moves Higher As Moisture Worries Grow
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| By Phil Franz-Warkentin, Resource News International |
| June 2, 2010 |
| Winnipeg – ICE Canada canola futures were higher Wednesday morning, as concerns about planting delays and crop damage in parts of western Canada due to excessive moisture provided some support.
Conditions were turning drier across the Canadian Prairies on Wednesday, but the forecasts are calling for more precipitation heading into the weekend, which could cause further planting delays or crop damage. While traders were expressing some concern with the weather, the situation is uncertain and many traders were still anticipating a large canola crop. An analyst said that uncertainty would likely keep canola within a tight range, as participants will be reluctant to push prices too far one way or the other. CBOT soybean futures were being called steady to start the North American session, but could easily turn lower given the good US crop conditions, according to market participants. Malaysian palm oil futures were narrowly mixed in overnight trade. The Canadian dollar was slightly firmer Wednesday morning, putting some pressure on canola values. However, the currency did weaken by roughly a cent relative to its US counterpart on Tuesday. About 820 canola contracts had traded as of 8:45 CDT. Western barley futures were untraded and unchanged in overnight activity. Prices in Canadian dollars per metric ton at 8:45 CDT: |
| Price | Change | ||
| Canola | |||
| Jul | 374.20 | up 1.00 | |
| Nov | 379.20 | up 1.00 | |
| Jan | 384.10 | up 0.80 | |
| Western Barley | |||
| Jul | 147.50 | unch | |
| Oct | 145.50 | unch | |
