ICE Canola Takes Direction From CBOT Soybean Gains
| 1 min read
| By Dwayne Klassen, Resource News International |
| December 31, 2009 |
| Winnipeg – Canola contracts on the ICE Futures Canada platform were trading at a firmer price level at midday with much of the upward price momentum being encouraged by the advances seen in the CBOT soybean complex, market watchers said.
Some of the activity has been dominated by commercials with market participants sidelined in view of the ongoing Christmas and New Year’s holidays. Canola futures found early support from the gains seen overnight in the outside oilseed markets, brokers said. Light pricing of old export business helped to underpin canola as did the absence of farmer deliveries into the cash pipeline. Light support in canola was also stemming from friendly chart signals, traders said. The upside in canola was being limited by the lack of fresh export business and the strength seen in the Canadian dollar early Thursday. There were an estimated 3,941 canola contracts traded at 10:34 CDT. Of the contracts traded 770 were spread related. There were 4 western barley futures traded as of 10:34 CDT. Light end of year positioning by commercials accounted for the small activity, brokers said. |
