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Commodity futures

Winnipeg Commodity Exchange Grain and Oilseed Futures Trade Mixed, Canola Sees Modest Gains

Strategic Insights

— 1 min read

The Winnipeg Commodity Exchange (WCE) grain and oilseed futures closed Monday's session with mixed results, driven by the advance in Chicago Board of Trade soyoil futures. Brokers reported that canola futures posted gains in moderate trade, with intermonth spreading contributing to the trading volumes. The modest gains in canola were attributed to the firm tone in CBOT soy complex futures, technically driven buying, and the idea that the market has put in its harvest lows. However, the final stages of the canola harvest, steady farmer selling, and the strong Canadian dollar limited the upside. Exporters and crushers supplied the bulk of the buying, while commercials dominated the sell side.

Key Takeaways:

  • Canola futures rallied modestly in light trade, with the Nov/Jan spread trading at C$10.00 to $10.80 and the Nov/Mar spread trading at $18.00 to $18.60.
  • The total volume of canola contracts traded was estimated at 5,498, down from Friday's 12,577 contracts.
  • Feed grains ended mixed, with feed wheat edging lower in light trade and barley rallying in moderate activity.
  • The WCE market ignored the choppy tone in CBOT corn futures, according to brokers.
  • Western barley rallied in moderate activity, with an estimated 461 contracts changing hands, up from Friday's 60 contracts.
  • Feed wheat trading volumes were estimated at 135 contracts, down from Friday's 577 contracts.
  • The trading activity was influenced by the final stages of the canola harvest, steady farmer selling, and the strong Canadian dollar.
  • Exporters and crushers supplied the bulk of the buying, while commercials dominated the sell side.

Statistics:

  • 5,498 contracts of canola futures were traded, with an estimation of 2,280 contracts involved in the spread trade.
  • Feed wheat trading volumes were estimated at 135 contracts, down from Friday's 577 contracts.
  • Western barley rallied in moderate activity, with an estimated 461 contracts changing hands, up from Friday's 60 contracts.
  • Canola prices fell back to marginal gains at the close as the CBOT soy complex rallied faded back.

Sources:

  • Resource News International via COMTEX
  • Winnipeg Commodity Exchange (WCE)

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