Canola fund short position grows

Funds also net short in U.S. wheats

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Published: May 9, 2023

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(File photo by Dave Bedard)

MarketsFarm — The managed money net short position in canola grew in early May as fund traders were busy liquidating long positions and moving more money to the short side of the market, according to the latest Commitments of Traders report from the U.S. Commodity Futures Trading Commission (CFTC).

As of May 2, the net managed money short position in canola futures came in at 62,218 contracts (81,084 short, 18,866 long) — an increase of about 10,000 contracts from the previous week.

Open interest in the canola market came in May 2 at 252,657 contracts, down by about 4,500 from the previous week.

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At the Chicago Board of Trade, fund traders were holding a net long of about 55,000 contracts in soybeans, down by about 32,000 from the previous week, as traders liquidated longs and put on new shorts.

Meanwhile, the net short position in corn jumped to 112,000 contracts from only 10,000 the previous week.

The Chicago soft wheat market reported a net short position of about 128,000 contracts. Funds were holding a net short position in Kansas City hard red winter wheat of around 6,500, in a shift from a similarly-sized net long the previous week. In Minneapolis spring wheat, managed money traders holding were holding a net short of around 8,200 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.

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