Canadian canola futures higher

08 Jun, 2008

Canadian canola futures broke higher on Friday after crude oil soared to a new record, pulling up vegetable oils like soyabean and canola, traders said. "The farmer selling tremendously picked up," attracted by the rally, a trader said. ICE canola futures ended $2.10 to $11.20 per tonne higher, with July up $10.20 at $646.10 and November up $11.10 at $671.20.
Earlier, July hit a seven-week high of $659 per tonne and November reached a 12-week high of $684. Crush margins improved, spurring buying, and funds were also moderate buyers, traders said. The market fell off its highs near the close, when allied US soya futures dropped on profit taking, traders said. At the Chicago Board of Trade, July soyabeans ended 5-1/2 US cents per bushel higher at US $14.57-1/2 and July soyaoil was up 1.69 US cents at 64.34 US cents. An estimated 3,900 July/November spreads traded from $24.10 to $25, with 420 November/January from $3.20 to $11.10, 411 January/March from $6.10 to $9.10 and 125 March/May from $4.70 to $5.80.

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