Prairie wheat bids mixed; CWRS down, CPSR up

CNS Canada — Wheat cash bids across Western Canada only saw some minor adjustments during the week ended Friday, with some classes seeing small gains and other wheat classes down slightly.

Average Canada Western Red Spring wheat prices were steady to as much as $3 per tonne lower during the week, with bids ranging from $197 per tonne in north-central Saskatchewan to $216 per tonne in Manitoba, according to bids from a cross-section of delivery points across Western Canada.

Basis levels varied from location to location, but softened slightly in most cases.

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.

When accounting for the currency exchange rates by adjusting the Canadian prices to U.S. dollars, CWRS bids ranged from US$157 to $173, which would put the currency adjusted basis levels relatively unchanged on the week at US$34-$50 below the futures.

Looking at it the other way around, if the Minneapolis futures are converted to Canadian dollars, CWRS basis levels across Western Canada range from C$42 to $62 below the futures.

Average Canada Prairie Spring Red (CPSR) bids were up by C$1-$4 per tonne during the week. CPSR prices came in at about $167 in Manitoba, at about $171 per tonne in Saskatchewan, and $182-$187 in Alberta.

Soft white spring (CWSWS) wheat prices were up by about $3-$4 per tonne, ranging from $185 to $188 per tonne in Alberta. Winter wheat prices were narrowly mixed within a dollar or two of unchanged, ranging from $154 to $159 per tonne across Western Canada.

Durum prices, meanwhile, were down sharply, with prices in southern Saskatchewan, where the bulk of the crop is grown, down $16 at $321 per tonne.

The May spring wheat contract in Minneapolis, which most CWRS contracts in Canada are based off of, was quoted at US$5.665 per bushel on Friday, down half a cent from the previous week.

Kansas City hard red winter wheat futures, traded in Chicago, are more closely linked to CPSR in Canada. The May K.C. wheat contract was quoted at US$5.395 per bushel on Friday, up 1.25 cents from last week.

The May Chicago Board of Trade (CBOT) soft wheat contract settled at US$5.13 on Friday, six cents higher compared to the week prior.

The Canadian dollar finished the week at US79.98 cents, up roughly a quarter-cent compared to the previous week.

— Phil Franz-Warkentin writes for Commodity News Service Canada, a Winnipeg company specializing in grain and commodity market reporting.

Table: The weekly snapshot of average published prices, as of March 2, 2015. Futures prices, in U.S. dollars per tonne, vary slightly due to changes while data is collected. Cash bids, in Canadian dollars per tonne, include currency conversion in the basis. Source: AGCanada.com.

---

Newsletter Sign Up - Stories about strategic business thinking and farming success

You'll receive profiles, case studies and strategy from modern farming in Canada, delivered to your inbox 6 days a week!

Your Email(Required)

Your Postal Code(Required)

Consent

I consent to receiving emails from Glacier FarmMedia, its affiliates and divisions and third parties, containing agriculture news, updates and promotions. I can unsubscribe at any time

Comments

This field is for validation purposes and should be left unchanged.