Glacier FarmMedia | MarketsFarm — Hard red spring wheat bids in Western Canada moved to their highest levels in three months during the week ended Oct. 10, as a firm tone in the United States futures and sharp weakness in the Canadian dollar provided support.
Average Canada Western Red Spring (13.5%) wheat prices were up by C$5.50 to C$8.70 per tonne across the Prairies, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices ranged from C$281.00 per tonne in southeastern Saskatchewan to as high as C$307.40 per tonne in southern Alberta.
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Quoted basis levels varied from location to location and ranged from $42.10 to $68.50 per tonne above the futures when using the grain company methodology of quoting the basis as the difference between the U.S. dollar denominated futures and the Canadian dollar cash bids.
When accounting for currency exchange rates by adjusting everything into Canadian dollars (C$1=US$0.7271) CWRS basis levels ranged from C$11.20 to C$25.20 below the futures.
Canada Prairie Spring Red (CPSR) wheat bids were up by C$3.90 to C$6.50 per tonne, with prices ranging from C$253.20 to C$278.20 per tonne.
Average durum prices were up by C$9.60 to C$14.10 per tonne, ranging from C$310.70 to C$330.70 per tonne.
Spring wheat futures in Minneapolis were up by four cents per bushel in the December contract to settle at US$6.5025 per bushel on Oct. 10.
The Kansas City hard red winter wheat futures, which are now traded in Chicago, are more closely linked to CPSR in Canada. The December Kansas City wheat contract was down by 0.50 cents at US$6.11 per bushel on Oct. 10.
The December Chicago Board of Trade soft wheat contract settled at US$6.0375 per bushel on Oct. 10, up 0.25 cents on the week.
The Canadian dollar was down by just over a cent relative to its United States counterpart, at 72.71 U.S. cents on Oct. 10.
