WINNIPEG, Manitoba--Intercontinental Exchange (ICE) canola futures finished mixed on Wednesday with declines in the more heavily traded old crop months.
Earlier in the session the nearby March contract hit a new contract high of C$1,020.50 per ton. A trader noted the open interest in the January contract was already below 8,000.
He also suggested that with the Canadian markets closed on Dec. 27 and the United States markets open that day, opportunities for profit-taking in canola have arisen.
Support for the Canadian oilseed came from strong upticks in the Chicago soy complex, Malaysian palm oil and European rapeseed, which saw new contract highs as well. Increases in global crude oil prices also lent support to edible oil values.
Tight supplies and the new to ration demand continued to underpin canola. However, there are ideas that it's now overvalued.
As the U.S. dollar stepped back a little the Canadian dollar was gained strength. At mid-afternoon the loonie was at 77.84 U.S. cents, compared to Tuesday's close of 78.36.
There were 21,190 contracts traded on Wednesday, which compares with Tuesday when 16,518 contracts changed hands. Spreading accounted for 11,748 contracts traded.
Settlement prices are in Canadian dollars per metric ton.
Price Change
Canola Jan 1,018.80 dn 3.80
Mar 1,010.70 dn 2.20
May 977.70 up 1.10
Jul 928.30 up 6.20
Spread trade prices are Canadian dollars and the volume
represents the number of spreads:
Months Prices Volume
Jan/Mar 12.50 over to 7.00 over 2,717
Jan/May 49.40 over to 46.10 over 100
Jan/Jul 93.80 over to 93.30 over 10
Mar/May 38.40 over to 32.70 over 2,179
Mar/Jul 92.20 over to 85.00 over 340
Mar/Nov 247.50 over 1
May/Jul 55.60 over to 48.80 over 437
May/Nov 212.50 over to 210.8 over 13
Jul/Nov 165.40 over to 157.00 over 63
Nov/Jan 2.00 over to 0.40 over 11
Nov/Mar 8.30 over 2
Jan/Mar 6.30 over 1
Source: Commodity News Service Canada, news@marketsfarm.com
(END) Dow Jones Newswires
12-22-21 1534ET
