ICE canola reaches 11-day high on soy strength, export sales

Tuesday, 23 October 2012

By Abdul Ahad

WINNIPEG: ICE Canada canola futures climbed to an 11-day high on Monday, lifted by strength in soybeans and execution of export sales, traders said.

* Weaker Canadian dollar also supported.

* Commercial hedges pared gains in late trading as high prices encouraged farmer selling to cash market.

* Crush margins, a measure of profitability for seed processors, improved week over week as of Thursday, but remain low compared to a month and year ago.

* November canola rose $3.30 to $615.20 per tonne on volume of 8,105 contracts. Touched $621, the highest price since Oct. 11.

* January canola gained $3.60 to $614.20 on volume of 13,552 contracts.

* November-January spread narrowed to a November premium of $1.00, trading 7,644 times.

* Chicago Board of Trade November soybeans added 12-1/4 US cents at US$15.46-1/2 per bushel on a firm cash market.

* MATIF November rapeseed rose 0.3 percent.

* Malaysian December palm oil futures gained 2.1 percent.

* Canadian dollar was trading at $0.9941 against the US dollar or US$1.0059 at 1:56 p.m. CDT (1856 GMT), down from Friday’s close at $0.9932 to the greenback, or US$1.0068.

Courtesy: Reuters