Short positions, good crusher demand pushes canola futures up

Reading Time: 3 minutes

Published: December 12, 2019

,

(Reuters) – ICE canola futures rose on Thursday as investors covered short positions following a sharp market decline on Wednesday, traders said.

Good crusher demand also lent support.

The January contract gained 1.2%, its biggest daily percentage gain in three months.

January canola settled up $5.60 at $459.10 per tonne, while March futures ended $5.40 higher at $468.20.

The January contract rallied through its 10-day and 20-day moving averages.

Spreading remained a feature as traders worked to roll January positions into deferred contracts ahead of the year-end holidays, when liquidity tends to erode. A trader said spread trading accounted for about 90% of total volume.

Read Also

Photo: Getty Images Plus

Alberta crop conditions improve: report

Varied precipitation and warm temperatures were generally beneficial for crop development across Alberta during the week ended July 8, according to the latest provincial crop report released July 11.

The January-March canola spread <RSF0-H0> traded 9,619 times, closing at a $9.10 March premium.

Chicago Board of Trade soybean rose on fresh hopes for a trade deal with China.

CBOT January soybeans settled up 4-3/4 U.S. cents at US$8.98-1/4 per bushel.

Euronext February rapeseed futures rose 0.76% and Malaysian February palm oil futures rose 0.31%.

OUTSIDE MARKETS

Light crude oil nearby futures in New York was up 42 cents at US$59.18 per barrel.

In the afternoon, the Canadian dollar was trading around US75.75 cents, down from 75.86 cents the previous trading day. The U.S. dollar was C$1.3182.

 

Winnipeg ICE Futures Canada dollars per tonne.

Canola Jan 20 459.10s +5.60 +1.23%

Canola Mar 20 468.20s +5.40 +1.17%

Canola May 20 476.30s +5.60 +1.19%

Canola Jul 20 482.00s +5.40 +1.13%

Canola Nov 20 485.20s +4.40 +0.92%

 

American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound. Prices are displayed with fractions (2/8, 4/8, and 6/8) instead of decimals. -2 equals .25, -4 equals .50, -6 equals .75. The “s” means it is the settlement.

 

Chicago

Soybean Jan 20 898-2s +4-6 +0.53%

Soybean Mar 20 912-4s +4-4 +0.50%

Soybean May 20 926-0s +4-2 +0.46%

Soybean Jul 20 938-6s +3-6 +0.40%

Soybean Aug 20 943-2s +3-6 +0.40%

 

Soybean Meal Dec 19 292.6s -0.7 -0.24%

Soybean Meal Jan 20 294.2s -0.8 -0.27%

Soybean Meal Mar 20 298.7s -0.6 -0.20%

 

Soybean Oil Dec 19 32.03s +0.80 +2.56%

Soybean Oil Jan 20 32.23s +0.79 +2.51%

Soybean Oil Mar 20 32.51s +0.80 +2.52%

 

Corn Dec 19 367-0s +9-2 +2.59%

Corn Mar 20 377-6s +6-4 +1.75%

Corn May 20 384-2s +6-2 +1.65%

Corn Jul 20 390-0s +6-2 +1.63%

Corn Sep 20 390-2s +5-4 +1.43%

 

Oats Dec 19 324-2s +9-0 +2.85%

Oats Mar 20 302-6s +9-0 +3.06%

Oats May 20 299-4s +9-4 +3.28%

Oats Jul 20 292-0s +9-4 +3.36%

Oats Sep 20 281-6s +6-0 +2.18%

 

Wheat Dec 19 539-2s +8-4 +1.60%

Wheat Mar 20 530-2s +11-0 +2.12%

Wheat May 20 533-0s +10-2 +1.96%

Wheat Jul 20 536-0s +10-0 +1.90%

Wheat Sep 20 542-0s +9-2 +1.74%

 

Minneapolis

Spring Wheat Dec 19 500-4s unch unch

Spring Wheat Mar 20 523-0s +4-6 +0.92%

Spring Wheat May 20 531-2s +4-2 +0.81%

Spring Wheat Jul 20 540-0s +4-0 +0.75%

Spring Wheat Sep 20 549-0s +4-0 +0.73%

 

Kansas City

Hard Red Wheat Dec 19 427-4s +12-0 +2.89%

Hard Red Wheat Mar 20 442-6s +12-0 +2.79%

Hard Red Wheat May 20 450-2s +12-4 +2.86%

Hard Red Wheat Jul 20 457-0s +11-4 +2.58%

Hard Red Wheat Sep 20 465-4s +11-0 +2.42%

 

Chicago livestock futures in US¢/pound, Pit trade

Live Cattle Dec 19 120.425s -0.150 -0.12%

Live Cattle Feb 20 125.100s -0.225 -0.18%

Live Cattle Apr 20 126.200s +0.325 +0.26%

 

Feeder Cattle Jan 20 142.550s -0.225 -0.16%

Feeder Cattle Mar 20 143.450s -0.225 -0.16%

Feeder Cattle Apr 20 145.575s +0.100 +0.07%

 

Lean Hogs Dec 19 61.000s +0.300 +0.49%

Lean Hogs Feb 20 68.650s +0.925 +1.37%

Lean Hogs Apr 20 74.625s +0.375 +0.51%

 

Markets at a glance

explore

Stories from our other publications