Winnipeg Commodity Exchange Sees Mixed Session in Canola, Feed Grains

The Winnipeg Commodity Exchange (WCE) saw a mixed session in canola and feed grains on Monday, November 22, 2004, with canola futures ending mainly higher in very light trade due to late commercial demand and a choppy session. The market was pressured down by a strong Canadian dollar, sluggish demand, and bearish technical signals, but was balanced off by the lack of country selling and small strength in Chicago Board of Trade soy complex futures.

Key Takeaways:

Canola futures ended mainly higher in very light trade due to late commercial demand.
The market was pressured down by a strong Canadian dollar, sluggish demand, and bearish technical signals.
The lack of country selling and small strength in Chicago Board of Trade soy complex futures balanced off the pressure.
Commercial demand pulled the market up as Chicago Board of Trade soy oil futures posted gains.
Commission house and commercial buying met mainly speculative selling with commodity funds selling 500 contracts.
RBC Investments was a buyer, while Fimat was a seller.
Japan booked 3,000 metric tons of canola overnight, indicating routine Japanese pricing.

Statistics:

500 contracts of commodity fund selling
3,000 metric tons of canola booked by Japan
$10.50 in Jan/May canola spreads
$4.50 and $4.80 in Jan/Mar canola spreads
$8.00 in Mar/Nov canola spreads
Light activity in feed grain futures with a narrowly mixed close

Sources:

Resource News International via COMTEX (http://www.comtexnews.com)
Don Bousquet, Resource News International