ICE Canola up following strong vegoil markets
| 1 min read
By Brent Harder
| By Brent Harder, Resource News International |
| October 5, 2010 |
| Winnipeg – October 5 – Canola contracts on the ICE Canada platform were trading at stronger values at 10:35 CDT, with gains linked to the firm price tone seen in the vegetable oil sector, analysts said. Advances were posted overnight in Malaysian palm oil as well as European rape seed futures.
Some minor support in canola also came from Monday’s Statistics Canada Report. The StatsCan report projected Canada’s canola crop to be smaller than was originally anticipated, which contributed to the market’s bullish tone, brokers said. Market watchers said strength from soybeans in Chicago was also underpinning prices. There was solid demand coming from crushers, experts said. Analysts said basis levels were weaker, which was telling producers not to sell their product just yet. Harvest progress continued across the Canadian prairies with above average temperatures, which helped limit canola’s gains. A stronger Canadian dollar was also providing bearish pressure on the market. At 10:35 CDT, there had been 13,000 canola contracts traded, with about 9,900 linked to spreading. Western barley futures were untraded and unchanged to midsession. |
| Price | Change | ||
| Canola | |||
| Nov | 468.50 | up 2.90 | |
| Jan | 477.10 | up 4.00 | |
| Mar | 483.10 | up 4.30 | |
| Western Barley | |||
| Oct | 174.50 | unch | |
| Dec | 175.50 | unch | |
