ICE Review : Canola Higher on Outside Markets, Technicals and Trade Relations

WINNIPEG, Manitoba--The ICE Futures canola market was stronger as gains in outside markets, chart-based positioning and optimism over improving Canadian trade relations with China were supportive.

The nearby July contract settled well above 700 Canadian dollars per metric ton for the first time since Monday's selloff, which was bullish from a technical standpoint. New crop November was also trading back above some key chart levels.

Advances in crude oil Friday lent support to world vegetable oil markets. Strength in Chicago soyoil added to the firmer tone in canola.

Optimism over improving trade relations between Canada and China after a call between Canadian Prime Minister Mark Carney and Chinese Premier Li Qiang was also supportive.

There were 51,875 contracts traded on Friday, which compares with Thursday when 40,707 contracts changed hands.

Spreading accounted for 32,082 of the contracts traded.

Settlement prices in Canadian dollars per metric ton.

Contracts Prices Change

 
   Jul       710.80 up 11.90 
   Nov       692.60 up 11.40 
   Jan       700.00 up 11.40 
   Mar       706.00 up 10.90 
 

Spread trade prices are in Canadian dollars and the volume represents the number of spreads:

 
   Contracts Price                     Volume 
 
   Jul/Nov   22.60 over to 17.70 over  12,937 
   Jul/Jan   14.00 over to 10.70 over      13 
   Nov/Jan    7.10 under to 7.80 under  2,411 
   Nov/Mar   12.90 under to 14.00 under    24 
   Nov/Jul   22.40 under to 22.90 under     5 
   Jan/Mar    5.80 under to 6.60 under    504 
   Mar/May    5.20 under to 5.50 under     60 
   May/Jul    3.70 under to 4.10 under     57 
   Jul/Nov   37.00 over to 36.80 over      30 
 

Source: MarketsFarm, [e-mail]

(END) Dow Jones Newswires

06-06-25 1551ET