Winnipeg Commodity Exchange Sees Mixed Trade in Grain and Oilseed Futures

Strategic Insights -

The Winnipeg Commodity Exchange experienced a mix of gains and declines in grain and oilseed futures at midsession on Monday. Canola futures led the gains, with commercial buying driving the advances and support from gains in the CBOT soy complex. However, strength in the Canadian dollar and commercial-related harvest pressure weighed on the market. Feed wheat and western barley futures declined in light trade due to harvest pressure, although gains in CBOT corn futures limited the declines.

Key Takeaways:

  • Canola futures were mostly higher at midday due to commercial buying and support from gains in the CBOT soy complex.
  • Roughly 1,600 canola contracts had traded by midsession, with some Japanese pricing of previous business noted.
  • Commercial-related harvest pressure started to weigh on the market, with producers making good progress over the weekend.
  • The Nov/Jan canola spread traded between C$7.70 under and C$8.10 under.
  • Feed wheat and western barley futures were lower in light trade, with about 140 barley contracts and less than 40 feed wheat contracts traded.
  • Strength in the Canadian dollar capped the upside in canola.
  • Gains in CBOT corn futures limited the declines in feed wheat and barley.

Statistics:

  • 1,600 canola contracts traded by midsession.
  • 140 barley contracts traded by midsession.
  • Less than 40 feed wheat contracts traded by midsession.
  • C$7.70 under and C$8.10 under were the boundaries of the Nov/Jan canola spread.
  • CBOT corn futures gains limited the declines in feed wheat and barley.

Sources:

  • Resource News International via COMTEX, Aug 22, 2005