By Jade Markus and Phil Franz-Warkentin, Commodity News Service Canada
Winnipeg, November 15 (CNS Canada) – ICE Futures Canada canola gained ground on Thursday, gathering spillover support from advances in Chicago Board of Trade soybeans.
US soybeans were propped up by strong export sales reported by the United States Department of Agriculture, which were above analyst expectations and at their highest levels in six weeks.
The Canadian dollar had lost about 0.50 per cent against its US counterpart by close on Thursday, which added to canola’s upside.
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About 32,729 canola contracts traded on Thursday, which compares with Wednesday when 25,123 contracts changed hands.
Spreading accounted for about 24,754 of the contracts traded.
Durum and barley futures were untraded and unchanged, while milling wheat was revised lower after the close.
SOYBEAN futures at the Chicago Board of Trade were steady to up five cents per bushel on Thursday, with solid weekly export demand behind some of the strength.
The USDA reported weekly US soybean export sales of just over two million tonnes, which was well above trade guesses. An additional sale of 132,000 tonnes to China was also reported.
The supportive export news triggered some speculative buying, which added to the gains.
However, strength in the US dollar and relatively favourable South American crop conditions tempered the advances.
SOYOIL futures were down on Thursday, as losses in crude oil and adjustments to the soyoil/soymeal spreads weighed on prices.
SOYMEAL futures were up with soybeans on Thursday.
CORN futures in Chicago were down by three to five cents per bushel on Thursday, as losses in wheat spilled over to weigh on prices.
Large US supplies, losses in crude oil, and good South American crop prospects all contributed to the softer tone in corn, according to participants.
However, solid weekly US export sales of 1.5 million tonnes provided underlying support.
WHEAT futures in Chicago were down by seven to nine cents per bushel on Thursday, as a rally in the US dollar index weighed on prices.
The sharply stronger US dollar, which was at its highest levels in 14 years relative to a basket of currencies, makes US wheat less attractive to international buyers.
Lessening concerns over winterkill in parts of the US Plains added to the softer tone.
However, weekly US wheat export sales of 531,000 tonnes were at the high end of trade guesses.
