ICE Canola Weakens Following Outside Markets
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| By Phil Franz-Warkentin, Resource News International |
| February 25, 2010 |
| Winnipeg – ICE Canada canola futures were lower Thursday morning, pressured by spillover selling from the weakness seen in most outside commodity markets overnight including crude oil and e-cbot soybeans.
Calls for early losses in the CBOT soy complex to start the North American session were keeping the bias to the downside in canola as well, according to traders. Technical weakness was also a factor in the canola trade, as the futures remain hard-pressed to sustain any moves above nearby resistance levels, an analyst added. Ample world oilseed supplies and the record South American soybean crop also continue to overhang the market. Malaysian palm oil futures were narrowly mixed in overnight activity, closing near unchanged. A weaker tone in the Canadian dollar early in the day could help limit the declines in canola, said traders. Favourable domestic crush margins and steady exporter demand were also cited as supportive price influences. About 1,100 canola contracts had traded as of 8:48 CST. Western barley futures were holding steady in overnight activity, with 53 contracts traded. Prices in Canadian dollars per metric ton at 8:48 CST: |
| Price | Change | ||
| Canola | |||
| May | 390.40 | dn 0.70 | |
| Jul | 395.50 | dn 2.00 | |
| Nov | 403.20 | dn 0.20 | |
| Western Barley | |||
| Mar | 143.00 | unch | |
| May | 149.00 | unch | |
