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ICE Canadian canola futures jumped 2.4 percent on Friday, as short-covering and technical buying lifted the oilseed to its biggest daily percentage gain in five months. Short-covering took March canola through its 50-day moving average, triggering technical buying by funds - trader. Registered weekly gain of 4 percent, the largest in four months. January canola spiked $13.90 or 2.4 percent to $605.20 on volume of 5,973 contracts, notching its fourth straight gain. Touched $606.50, the highest nearby price since November 2.
March canola added $11.00 to $596.60 on volume of 11,772 contracts. January-March spread widened to a January premium of $8.60, trading 5,890 times. Chicago Board of Trade January soybeans gained 5-1/4 US cents or 0.4 percent to US $14.24 per bushel. Paris February rapeseed picked up 2.2 percent. Malaysian February palm oil rose 0.8 percent. Canadian dollar was trading at $0.9959 against the US dollar or US $1.0041 at 1:41 pm CST (1941 GMT), down from Thursday's close at $0.9949 versus the US dollar, or US $1.0051.

Copyright Reuters, 2012

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