WINNIPEG, Manitoba--The ICE Futures canola market continued to trend higher on Thursday, hitting its strongest levels in over a month.
The May canola contract held above the psychological C$600 per tonne level, which was supportive from a chart standpoint and likely encouraged some speculative short covering.
Spillover from gains in outside markets contributed to the firmer tone in canola, with Chicago soyoil, European rapeseed and Malaysian palm oil futures all higher on the day.
However, farmer selling at the highs likely came forward to keep a lid on the upside, according to participants.
Statistics Canada releases planted acreage estimates on March 11 with average trade guesses expecting planted area intentions come in below the 22.1 million acres seeded in 2023.
There were an estimated 44,816 contracts traded on Thursday, which compares with Wednesday when 35,323 contracts traded.
Spreading accounted for 24,474 of the contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Canola
Price Change
May 605.40 up 6.50
Jul 613.30 up 6.40
Nov 619.30 up 5.40
Jan 624.90 up 5.70
Spread trade prices are in Canadian dollars and the volume represents the number of spreads:
Months Prices Volume May/Jul 7.50 under to 8.10 under 6,806 May/Nov 13.30 under to 14.20 under 351 Jul/Nov 5.70 under to 7.50 under 4,632 Nov/Jan 5.00 under to 6.00 under 447 Jan/Mar 2.00 under 1
Source: Commodity News Service Canada, news@marketsfarm.com
(END) Dow Jones Newswires
03-07-24 1529ET
