ICE Canadian canola closed higher on Thursday amid sharp gains in US soyabeans and on exporter buying, traders said. Benchmark July canola settled $2 higher at $476 per tonne on volume of 4,722 contracts. New-crop November rose $1.80 to $478.50 on 6,678 contracts traded.
January gained $2.20 to close at $482.20 on a volume of 1,851 contracts. Gains were limited by the Canadian dollar's rise against the US currency, which dampened export prospects. Futures were underpinned by concerns over the crop. Development is 7 to 17 days behind the regular pace in Alberta, where dry conditions, cool weather and frost are hampering growth.
Frost damage has caused some farmers to reseed canola. The July-November spread traded 2,897 times from 10 cents to $4.80; November-January spreads traded 1,851 times at $2.10 to $4.00, a trader said. Chicago Board of Trade July soyabeans settled 21 US cents higher at US $12.67 per bushel. At 2:06 pm CDT (1906 GMT), the Canadian dollar was trading at $1.0981 to the US currency, or 91.06 US cents, up from Wednesday's close of $1.1080, or 90.25 US cents. Light crude oil settled US $1.35 higher at US $72.68 per barrel.