ICE Review : Canola Strengthens With Soy Complex

WINNIPEG, Manitoba--The ICE Futures canola market was stronger, posting solid gains in sympathy with the Chicago soy complex.

European rapeseed and Malaysian palm oil futures were also higher Monday, adding to the underlying strength in canola as the Canadian oilseed was thought to be looking underpriced on the global market.

Oversold price sentiment and speculative positioning contributed to the gains, although canola remained below several key moving averages.

The larger supply situation confirmed by Statistics Canada last week remained a bearish influence overhanging the market.

An estimated 47,513 contracts traded on Monday, which compares with Friday when 53,751 contracts traded.

Spreading accounted for 33,682 of the contracts traded.

Settlement prices are in Canadian dollars per metric ton.

Canola

Prices Change

Jan 673.10 up 13.10

Mar 679.60 up 12.60

May 687.00 up 12.80

Jul 692.00 up 12.90

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

 
           Prices                     Volume 

Jan/Mar 5.30 under to 7.00 under 12,206

   Jan/May 12.10 under to 13.60 under     84 
   Jan/Jul 16.40 under to 18.10 under     26 
   Mar/May  6.10 under to 7.50 under   3,412 
   Mar/Nov  6.60 under to 8.10 under       8 
   May/Jul  4.10 under to 5.20 under     921 
   Jul/Nov  4.70 over to 2.60 over       183 
   Nov/Jan  1.90 under                     1 
 

Source: MarketsFarm, [e-mail]

(END) Dow Jones Newswires

12-11-23 1554ET