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ICE Canadian canola futures eased on Friday with softer soya futures, but posted their third straight weekly gain. Weaker soya oil futures led to selling of canola in sympathy by commercials and speculators-traders. Nearby May canola notched 1.7 percent weekly gain, fresh off posting the front month's fourth straight quarterly gain on Thursday.
Volume was about 17,800 contracts, well off the five-week high reached on Thursday after US crop data boosted grains and oilseeds but second highest in two weeks. May canola settled down $2.40 at $590.90 per tonne, on volume of 9,959 contracts. July down $2.30 at $599.70 on volume of 5,241 contracts.
Index funds began rolling May positions into July, accounting for much of the volume-trader. May-July spread traded 4,244 times with the July premium ranging from $8.30 to $8.90. Chicago May soyabean futures ended down 16-1/2 US cents to US $13.93-3/4 per bushel on talk of export cancellations by China. May soyaoil down 0.10 cent to 58.68 US cents per lb. The Canadian dollar was trading at $0.9647 to the US dollar or US $1.0365 as of 1:13 pm CDT (1813 GMT), up from Thursday's North American finish of $0.9696, or $1.0314.

Copyright Reuters, 2011

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