Winnipeg Commodity Exchange Grain and Oilseed Futures End Mixed as Farmer Selling Remains Slow

Grain and oilseed futures on the Winnipeg Commodity Exchange (WCE) ended Tuesday's session mixed, with canola finishing little changed as the slow pace of farmer selling balanced off weakness in the Chicago Board of Trade (CBOT) soy complex futures. The absence of significant farmer selling provided support, while the weak Canadian dollar and steady routine export demand contributed to canola's marginal gains.

Key Takeaways:

Canola futures were little changed, with over half of the activity in Tuesday's session being intermonth spreading.
An estimated 6,256 contracts were involved in the spread trade, with the total canola volume estimated at 9,024 contracts, up from Monday's 6,056 contracts.
The slow pace of farmer selling balanced off weakness in the CBOT soy complex futures, which kept canola's gains marginal.
Routine export pricing accounted for the bulk of the buying, while cash dealer selling was light.
Locals and commission houses accounted for much of the selling, with commodity funds net sellers on the day, estimated at 500 May contracts.
Feed grain futures ended mainly lower in a light trade, with commercials dominating the activity and few fresh news to stimulate trade.
Western barley posted small losses in small trade, with an estimated volume of 266 contracts, up from Monday's 151 contracts.
Feed wheat also saw small losses, with a volume of 67 contracts, up from Monday's 11 contracts.

Statistics:

Canola futures volume: 9,024 contracts
Spread trade volume: 6,256 contracts
Estimated commodity fund selling: 500 May contracts
Feed grain futures volume: light trade
Western barley volume: 266 contracts
Feed wheat volume: 67 contracts
Intermonth spreading activity: over half of WCE's total activity in Tuesday's session

Sources:

Resource News International via COMTEX, Winnipeg Mar 7 RNI, Mar 07, 2006
Winnipeg Commodity Exchange