MarketsFarm — Wheat bids across Western Canada were mixed during the week ended Thursday, as losses in U.S. futures were countered by the supportive influence of a weaker Canadian dollar.
Average Canada Western Red Spring (CWRS, 13.5 per cent protein) wheat prices were up by $5.20-$10.10 per tonne, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices ranged from about $461.30 per tonne in western Manitoba to as high as $483.40 per tonne in northern Alberta.
Quoted basis levels varied from location to location and ranged from $78.30 to $100.40 per tonne above the futures when using the grain company methodology of quoting the basis as the difference between U.S. dollar-denominated futures and Canadian dollar cash bids.
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When accounting for currency exchange rates by adjusting everything into Canadian dollars, CWRS basis levels ranged from $4.50 to $18 below the futures.
The Canadian dollar closed Thursday at 78.03 U.S. cents, down a full cent relative to its U.S. counterpart, on the week.
Canada Prairie Spring Red (CPSR) wheat bids were lower, losing $2.90-$13.60 per tonne. Prices ranged from $419 to $437.30 per tonne.
Average durum prices were mixed, anywhere from $3 per tonne higher to $4 per tonne lower. Bids ranged from $721.10 to $731.90 per tonne.
The March spring wheat contract in Minneapolis, off of which most CWRS contracts Canada are based, was quoted Thursday at US$10.4225 per bushel, down 6.25 U.S. cents from the previous week.
Kansas City hard red winter wheat futures, traded in Chicago, are more closely linked to CPSR in Canada. The March K.C. wheat contract was quoted Thursday at US$8.4225 per bushel, down 26.75 U.S. cents compared to the previous week.
The March Chicago Board of Trade soft wheat contract settled Thursday at US$8.15 per bushel, down 25.25 cents on the week.
— Phil Franz-Warkentin reports for MarketsFarm from Winnipeg.
