Cash wheat bids across Western Canada saw some narrowly mixed activity during the week ended Tuesday (May 28).
Canada Western red spring (CWRS) wheat bids held relatively steady, with small declines at some elevators and a firmer tone at other locations.
Average spot bids for 13.5 per cent-protein CWRS across Manitoba, Saskatchewan and Alberta on Tuesday came in at around C$281 per tonne ($7.65 per bushel) based on pricing available from a cross-section of delivery points. That compares with C$282 per tonne ($7.68/bu.) at the same point the previous week.
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As the harvest in southern Alberta presses on, a broker said that is one of the factors pulling feed prices lower in the region. Darcy Haley, vice-president of Ag Value Brokers in Lethbridge, added that lower cattle numbers in feedlots, plentiful amounts of grass for cattle to graze and a lacklustre export market also weighed on feed prices.
Adjustments to basis levels were dependent on localized conditions, with the basis tightening by a couple of dollars per tonne in some areas and widening elsewhere.
U.S. wheat futures saw some mixed activity during the week, but held rangebound overall. The July spring wheat contract in Minneapolis, which most CWRS contracts in Canada are based off of, was quoted at US$8.065 per bushel on May 28, down about seven cents per bushel from the previous week.
July wheat in Kansas City, which is more closely linked to CPRS in Canada, gained five cents on the week to trade at US$7.435 per bushel.
Canada Prairie red spring (CPRS) bids were generally stronger over the reporting period, with average values at C$233 per tonne ($6.34/bu.), up from the C$231 ($6.29/bu.) level seen the previous week.
Durum prices held steady, with spot bids ranging from C$275 to as high as $299 per tonne ($7.48-$8.14/bu.), depending on the location.
— Phil Franz-Warkentin writes for Commodity News Service Canada, a Winnipeg company specializing in grain and commodity market reporting.
