MarketsFarm — Spring wheat bids in Western Canada moved lower during the week ended Thursday, as losses in U.S. futures and a firmer tone in the Canadian dollar weighed on values.
Average Canada Western Red Spring (CWRS, 13.5 per cent protein) wheat prices were down $2-$4.50 per tonne during the week, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices ranged from about $424.10 per tonne in northeastern Saskatchewan to as high as $447.20 per tonne in southern Alberta.
Read Also
Alberta crop conditions improve: report
Varied precipitation and warm temperatures were generally beneficial for crop development across Alberta during the week ended July 8, according to the latest provincial crop report released July 11.
Quoted basis levels varied from location to location and ranged from $70.50 to $93.50 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.
When accounting for currency exchange rates by adjusting everything into Canadian dollars, CWRS basis levels ranged from $20.40 to $32.60 below the futures.
Canada Prairie Spring Red (CPSR) wheat bids were down $5.80-$7.40 per tonne, with prices ranging from $403.60 to $423 per tonne.
Average durum prices were higher, gaining $11.30 to $14.90 per tonne. Bids ranged from $473.40 to $489.20 per tonne.
Spring wheat futures in Minneapolis were down by 16.5 U.S. cents per bushel in the December contract to settle Thursday at US$9.625 per bushel.
Kansas City hard red winter wheat futures, traded in Chicago, are more closely linked to CPSR in Canada. The December K.C. wheat contract was quoted Thursday at US$9.4975 per bushel, down by 32.5 U.S. cents per bushel compared to the previous week.
The December Chicago Board of Trade soft wheat contract settled at US$8.4925 per bushel on Thursday, down 43 U.S. cents on the week.
The Canadian dollar closed Thursday at 72.84 U.S. cents, up two-fifths of a cent relative to its U.S. counterpart on the week.
— Phil Franz-Warkentin reports for MarketsFarm from Winnipeg.
