|By Phil Franz-Warkentin, Commodity News Service Canada|
|April 20, 2012|
|Winnipeg – ICE Futures Canada canola contracts closed higher on Friday, seeing a recovery from the losses posted earlier in the week on the back of solid export demand and a return of speculative buying interest.Fund traders had been noted sellers earlier this week, liquidating long positions ahead of the April 24 Statistics Canada planting report. However, that selling ran its course, according to market participants who said the bounce higher in CBOT soybeans led to some renewed speculative buying interest in canola as well.
Steady exporter and domestic crusher pricing of old business provided further support for canola, although confirmation of any new business was lacking.
Strength in the Canadian dollar did temper the advances in canola. The generally improving moisture conditions across western Canada and the likelihood of record large seedings this spring were also overhanging the market, according to traders. Acreage estimates ahead of next week’s report range from 19.4 million to 23.0 million acres of canola, which would easily surpass the previous record set last year of 18.9 million.
About 22,597 canola contracts were traded on Friday, which compares with Thursday when an estimated 20,446 contracts changed hands. Inter-month spreading was a feature, accounting for 17,772 of the contracts traded.
Milling wheat futures were lower on Friday with five contracts traded. Durum and barley were untraded and unchanged.
Settlement prices are in Canadian dollars per metric ton.
Canola May 622.20 up 7.40
Jul 616.20 up 8.50
Nov 576.50 up 5.80
Western Barley May 235.00 unch
Jul 235.00 unch
Milling Wheat Oct 257.00 dn 1.00
Dec 262.00 dn 1.00
Durum Oct 277.50 unch
Dec 282.00 unch
Barley Oct 186.50 unch
Dec 190.00 unch
Futures Prices as of May 24, 2013
Prices are in Canadian dollars per metric ton