Canola fund short position still rising

Managed money net long in soybeans

Reading Time: < 1 minute

Published: March 24, 2023

,

(File photo by Dave Bedard)

MarketsFarm — The size of the fund short position in continued to rise in early March, according to the latest Commitments of Traders data out from the U.S. Commodity Futures Trading Commission (CFTC).

As of March 7, the net managed money short position in canola came in at 46,222 contracts (61,998 short/15,776 long), an increase of about 3,000 contracts from the previous week and the largest net short position in three years. The CFTC is still catching up with its reports after technical issues delayed results for most of February.

Read Also

Corn bids and offers have lately been far apart, with bids generally a dollar or more below the C$12 per bushel Ontario farmers would like to see. Photo: iStock/Getty Images

Feed Grain Weekly: Prices in a slow decline

Seasonal weakness and recent rains across the Prairies pressured feed grain prices according to a Moose Jaw-based trader.

Open interest in the canola market came in at 288,738 contracts on March 7, but has since climbed to over 311,000 as of March 17, according to ICE Futures data. The increase in open interest as futures prices trended lower implies the fund traders continued to add to their short positions.

At the Chicago Board of Trade, the managed money net long position in soybeans came in at 154,600 contracts on March 7, while the corn long position was only at about 15,600 contracts, dropping by 200,000 in the span of two weeks.

In wheat, the Chicago soft wheat market reported a net short position of about 103,000 contracts. The fund position in Kansas City (K.C.) wheat was showing a net short of about 11,500. In Minneapolis, the net short position was around 3,000 contracts.

— Phil Franz-Warkentin is an associate editor/analyst with MarketsFarm in Winnipeg.

About the author

Phil Franz-Warkentin

Phil Franz-Warkentin

Editor - Daily News

Phil Franz-Warkentin grew up on an acreage in southern Manitoba and has reported on agriculture for over 20 years. Based in Winnipeg, his writing has appeared in publications across Canada and internationally. Phil is a trusted voice on the Prairie radio waves providing daily futures market updates. In his spare time, Phil enjoys playing music and making art.

explore

Stories from our other publications