WINNIPEG-- Intercontinental Exchange canola futures made sharp gains on Friday due to a surge in comparable oils.
There were large upswings in Chicago soybeans and soyoil, along with Malaysian palm oil. Meanwhile, Chicago soymeal and European rapeseed experienced much more moderate gains. A spike in global crude oil prices fueled the hikes in the vegetable oils.
As analysts suggested, a round of short covering also pushed up vegetable oil prices.
Spring planting was well underway on the western Prairies, while activity was scarce on the eastern half.
Alberta was scheduled to release its first crop report of the year Friday afternoon. Saskatchewan will publish their report on May 11 and Manitoba could issue its report sometime next week.
After 39 weeks into the 2022/23 crop year, the Canadian Grain Commission said producer deliveries of canola now total 14.67 million tons, up from the 11.96 million this time last year.
Canola exports hit 6.75 million tons versus 4.30 million a year ago. Domestic usage reached 7.78 million tons, up from 7.06 million last year.
The Canadian dollar was stronger at midafternoon on Friday, with the loonie at 74.74 U.S. cents, compared to Thursday's close of 73.71.
There were 32,431 contracts traded on Friday, which compares with Thursday when 20,085 contracts changed hands. Spreading accounted for 17,260 contracts traded.
Settlement prices are in Canadian dollars per metric ton.
Canola Price Change Jul 735.10 up 20.00 Nov 711.00 up 17.80 Jan 716.40 up 17.40 Mar 720.50 up 17.20
Spread trade prices are Canadian dollars and the volume represents the number of spreads:
Months Prices Volume Jul/Nov 25.40 over to 20.90 over 6,522 Jul/Jan 19.30 over to 17.80 over 6 Nov/Jan 5.00 under to 6.10 under 1,370 Nov/Mar 8.70 under to 9.70 under 48 Jan/Mar 3.50 under to 4.30 under 541 Mar/May 3.80 over to 0.10 under 82 May/Jul 4.00 over to 0.10 over 42 Jul/Nov 48.70 over to 48.60 over 19
Source: Commodity News Service Canada, news@marketsfarm.com
(END) Dow Jones Newswires
05-05-23 1559ET
