ICE Canola Weaker, But Cautious, Watching Outside Markets
| 1 min read
| By Phil Franz-Warkentin, Resource News International |
| May 7, 2010 |
| Winnipeg – ICE Canada canola futures were weaker Friday morning after trading to both sides of unchanged in overnight activity. The market was said to be taking a cautious tone ahead of the weekend, following the sharp moves in the outside financial and commodity markets on Thursday.
After dropping sharply on Thursday, the Canadian dollar was showing some recovery on Friday. The weakness in the currency had kept canola from falling to the same extent as soybeans, and the fact that it was turning higher was seen as a sign that Thursday’s activity was a one day occurrence rather than the start of a sustained move, according to analysts. Forecasts calling for warmer weather across the Canadian Prairies into the next week were also weighing on canola prices, as the drying conditions should allow producers to resume spring seeding. CBOT soybeans were being called mixed to start the North American session. After dropping sharply on Thursday, any recovery in the soy market could be supportive for canola, according to traders. Statistics Canada will release its latest stocks report on Monday, May 10, and some positioning ahead of the report was expected on Friday. About 950 canola contracts had traded as of 8:42 CDT. Western barley futures were untraded and unchanged in overnight activity. Prices in Canadian dollars per metric ton at 8:42 CDT: |
| Price | Change | ||
| Canola | |||
| Jul | 387.40 | dn 1.70 | |
| Nov | 389.20 | dn 1.50 | |
| Jan | 394.30 | dn 0.40 | |
| Western Barley | |||
| Jul | 145.50 | unch | |
| Oct | 145.50 | unch | |
