Winnipeg Commodity Exchange canola futures closed higher on Thursday, supported by crusher buying and a rally in US soyoil futures. Canola settled $2.50 to $5.00 per tonne higher, with November up $3.20 at $431.20 and January up $2.50 at $442.50.
An estimated 1,885 November/January spreads traded between $10.70 and $13.20 and 155 November/March spreads from $19.20-$20.00, traders said. January/March spread trading totalled 150 contracts in a range from $8.70 to $8.80. Total canola futures volume was 10,143 contracts, down from 11,032 contracts on Wednesday.
Statistics Canada on Thursday morning pegged 2007 canola production at 8.86 million tonnes, down from its previous estimate of 9.24 million tonnes and below the average trade projection of 9.2 million tonnes. Traders were divided about how much the Statscan figures affected the market as the surveys used to compile the estimate were completed a few weeks ago.
But one trader said that the market viewed the numbers as bullish for prices. Exporter buying was light and prices would have to fall in the coming days to interest foreign buyers, a trader said. November soybeans rose 3-1/4 US cents per bushel to US $9.54-1/4. December soyoil futures rose 0.48 US cent per pound to close at 39.18 US cents.
Barley futures were mostly lower in thin trading. The October contract fell $4.50 to $201.40 per tonne the December contract was $2.00 lower at $206.40. Barley volume was estimated at 544 contracts, up from 234 on Wednesday. December feed wheat futures closed unchanged at $223 per tonne with only one 20 contracts trading.