Canola futures on the Winnipeg Commodity Exchange settled higher on Thursday, boosted by strength in US soy futures and on crusher buying during a volatile session, traders said. "We got a roller-coaster ride out of the beans," a trader said, noting canola traded in a relatively wide $10.70 range on both sides of the market.
Canola ended $4.20 to $5 per tonne higher, with November up $4.80 at $400 and January up $4.40 at $410.20. Crushers and exporters covered shorts on strength in Chicago Board of Trade soybean oil and the weaker Canadian dollar, traders said.
November soybeans ended 7-1/4 US cents per bushel higher at US $8.46-1/2 and December soybean oil was down 0.08 US cent per lb at 37.59 US cents.
A lack of farmer selling and strong European rapeseed futures also provided support, traders said. Funds liquidated about 1,000 long positions, traders said. Crude oil markets also contributed to the volatility, with London Brent crude falling more than US $1 per barrel under US $75 on Thursday.
Canadian crop weather stabilised after the recent heat wave, easing concerns about stress to canola, traders said. An estimated 106 November/January spreads traded from $9.50 to $10.20. Volume was estimated at 6,446 contracts, down from a total of 8,615 on Wednesday.
Barley futures plunged on late speculative liquidation amid thin volumes, a trader said, with October down $7.40 per tonne at $172.40. Traders continued to wait for a court ruling on the government's move to end the Canadian Wheat Board's barley monopoly. Barley volume was estimated at 106 contracts, down from 469 on Wednesday.
Feed wheat futures climbed in better-than-average volumes as the market continued to catch up to recent gains in allied markets, including Thursday's rally in US wheat futures, traders said. October feed wheat ended $4 per tonne higher at $174 and December was up $3.50 at $179.50. Volume was estimated at 446 contracts, up from 145 on Wednesday.
Comments
Comments are closed.