WINNIPEG--Intercontinental Exchange canola futures remained higher by the expanded daily limit of C$45 per metric ton Monday that also saw sparse trading volumes.
The rising heat and dry temperatures across the Prairies continued to propel canola prices higher. Grave concerns over tightening supplies have kept price rationing in the market to curb demand.
There was additional support from strong increases in the Chicago soy complex as well as European rapeseed. Malaysian palm oil values experienced small declines.
The U.S. Department of Agriculture in its oilseed report cut its estimate of Canadian canola production from 2020/21 to 2021/22 by 5.9% from its June report at 19.0 million metric tons. The USDA raised Canada's exports by almost 4% at 10.5 million metric tons. Ending stocks, which are somewhat higher than those from Agriculture and Agri-food Canada, were increased 12.4% at 1.18 million metric tons.
The Canadian dollar was relatively steady, with the loonie at 80.21 U.S. cents at mid-afternoon compared with Friday's close of 80.15.
There were 7,329 contracts traded Monday, which compares with Friday, when 16,081 contracts changed hands. Spreading accounted for 2,092 contracts traded.
Settlement prices are in Canadian dollars per metric ton.
Canola Nov 889.00 up 45.00
Jan 881.30 up 45.00
Mar 869.40 up 45.00
May 849.10 up 45.00
Spread trade prices are Canadian dollars and the volume represents the number of spreads:
Months Prices Volume
Nov/Jan 12.80 over to 8.50 over 626
Nov/Mar 27.10 over to 24.00 over 29
Jan/Mar 16.40 over to 12.40 over 105
Mar/May 22.00 over to 17.60 over 26
May/Jul 27.00 over to 22.70 over 247
Jul/Nov 139.20 over to 130.00 over 13
Source: Commodity News Service Canada, firstname.lastname@example.org
(END) Dow Jones Newswires