Winnipeg, Oct. 23 – The ICE Futures Canada canola market finished mostly higher as traders exited the November contract in favour of January.
Gains in vegetable oil and U.S. soybeans helped to underpin canola.
The dominant January contract enjoyed technical support at the C$510 per tonne level.
“Canola is becoming less expensive (compared to other oilseeds) even though it’s going up,” said a trader in Winnipeg.
However, harvest conditions in the western portion of the Prairies are improving. There are ideas farmers in Alberta should be able to get the last of the canola off before winter.
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Around 34,486 canola contracts were traded on Monday, which
compares with Friday when around 48,908 contracts changed hands. Spreading accounted for 23,892 of the contracts traded.
Milling wheat, barley and durum were all untraded.
Settlement prices are in Canadian dollars per metric tonne.
The soybean market finished one to two cents per bushel higher as traders covered shorts.
Prices took strength from U.S. soybean inspection numbers, which came in higher than expected. Analysts were generally expecting to see 1.3 to 1.9 million tonnes of soybeans but the USDA pegged them at 2.6 million.
There is speculation China may temporarily reduce or eliminate state buying of soybeans.
Corn jumped six cents per bushel on technical buying Monday.
The dominant December contract settled near the benchmark US$3.50 per bushel mark after hitting contract lows last week.
Harvest in the U.S Corn Belt has been delayed due to rain.
Wheat finished nine to ten cents stronger in speculative buying on Monday.
Winter wheat planting is proceeding rapidly, which was bearish.
U.S. export inspections were pegged at 170,000 metric tonnes, which fell below analysts’ estimates of 300,000 to 500,000 tonnes.
