WINNIPEG, Manitoba--The ICE Futures canola market was stronger on Thursday, hitting its highest levels of the past week.
Drought concerns across Western Canada remained supportive, with the size of the crop likely well below earlier expectations. However, actual yields remain to be seen and market participants are showing uncertainty over where prices will need to go to ration enough demand.
There is a chance of precipitation in some areas over the weekend, although the moisture is likely too little, too late and could cause harvest delays as harvest operations start up.
Gains in Chicago Board of Trade soybean futures provided some support. However, soyoil was weaker and the Canadian dollar was stronger, cutting into crush margins.
About 11,807 canola contracts traded on Thursday, which compares with Wednesday when 20,917 contracts changed hands.
Spreading accounted for 7,218 of the contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Price Change
Canola
Nov 879.40 up 6.60 Jan 864.30 up 5.40 Mar 848.20 up 3.10 May 828.80 up 3.60
Spread trade prices are in Canadian dollars and the volume represents the number of spreads:
Months Prices Volume
Canola
Nov/Jan 16.00 over to 12.30 over 877 Nov/Mar 31.10 over to 28.00 over 170 Nov/May 49.50 over to 48.00 over 2 Nov/Jul 70.00 over 5 Jan/Mar 16.30 over to 13.70 over 1,372 Jan/May 34.10 over 1 Mar/May 20.00 over to 17.10 over 1,039 May/Jul 24.50 over to 22.60 over 143
Source: Commodity News Service Canada
Write to Phil Franz-Warkentin at news@marketsfarm.com
(END) Dow Jones Newswires
08-05-21 1553ET