ICE Canola Weakens, But Downside Limited By C$
| 1 min read
| By Phil Franz-Warkentin, Resource News International |
| May 5, 2010 |
| Winnipeg – ICE Canada canola futures were weaker Wednesday morning, pressured by movements in the outside commodity markets. However, continued softness in the Canadian dollar helped limit the weakness in canola, keeping the market well within its established trading ranges.
Calls for a slightly weaker start to the North American session for the CBOT soy complex, were putting some spillover pressure on canola values, according to traders. Activity in the outside financial and energy markets, stemming from the ongoing economic concerns in Greece, also weighed on the commodity markets, including canola, said an analyst. The generally favourable crop conditions in both the US Midwest and the Canadian Prairies added to the weaker tone in canola, according to traders. However, the downside in canola was limited by the continued weakness in the Canadian dollar, which was down by nearly a cent relative to its US counterpart. The weaker currency helps improve domestic crush margins and makes canola more attractive to export customers pricing in US dollars. About 320 canola contracts had traded as of 8:47 CDT. Western barley futures were untraded and unchanged in overnight activity. Prices in Canadian dollars per metric ton at 8:47 CDT: |
| Price | Change | ||
| Canola | |||
| Jul | 385.40 | dn 1.10 | |
| Nov | 388.30 | dn 1.60 | |
| Jan | 392.70 | dn 1.50 | |
| Western Barley | |||
| Jul | 145.50 | unch | |
| Oct | 145.50 | unch | |
