ICE Canadian canola futures rose on Tuesday after a US government crop report ignited corn and wheat, spilling over gains to oilseeds, traders said. Key November contract posted its biggest daily percentage gain in over six weeks. Slow farmer selling kept hedge pressure light for canola, while funds may have been buyers on improving technicals - traders.
USDA raised corn stocks from previous month, but not as much as trade expected. November rose $7.00 or 1.3 percent to $568.00 per tonne on volume of 10,767 contracts. January gained $6.80 to $575.90 on volume of 931. No January deliveries on Tuesday. Expiry on Thursday.
November-January spread traded 699 times, settling at a January premium of $7.90. Chicago August soyabeans settled up 9 US cents at US $13.55-1/2 per bushel. August soyaoil gained 0.08 cent at 56.40 US cents per lb. Canadian dollar was trading at $0.9628 to the US dollar, or US $1.0386 at 1:20 pm CDT (1820 GMT), up from Monday's close at $0.9690 to the US dollar, or US $1.0320.
NYMEX crude oil settled up 2.4 percent at US $97.43 per barrel ahead of inventory reports forecast to show that domestic crude stocks fell last week. Black Sea region rapeseed 2011/12 output seen down slightly. Hot, stormy weather mixed benefit for Manitoba crops.
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