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ICE Canadian canola futures ended higher on Friday, despite a sudden plunge in morning trading when sell stop orders were triggered, traders said. Benchmark canola gains 1.4 percent, following soya complex higher but lags September soyabeans' 1.7 percent gain and September soyaoil's rise of 3.2 percent.
Benchmark November had second sudden drop to around $430 in three days. Plunges due to a trader(s) not putting proper limits on number of contracts to sell when market falls to prices on sell stop orders-traders. November closed up $6.30 at $462.40 a tonne, on volume of 9,298. Ends week down 1.3 percent.
January up $6.80 at $465.40, volume 830. November-January spread traded 684 times, settling at $3 premium January. CBOT September soyabeans end up 17-1/2 US cents at US $10.43-1/2 per bushel. September soyaoil down 1.31 US cent at 42.52 US cents per lb.
The Canadian dollar trading at $1.0401 to the US dollar, or 96.14 US cents as of 1:04 pm CDT (1304 GMT), up from Thursday's finish at $1.0428 to the US dollar, or 95.90 US cents. Light crude oil futures, linked to canola through their use in biofuels, down 43 US cents at US $75.31 per barrel. Late-growing Canada crops could get first frost threat weeks too soon. Canada canola crushings ahead of last year's pace. Coming up: Statistics Canada crop production forecast on August 20.

Copyright Reuters, 2010

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