WINNIPEG (MarketsFarm) – Wheat bids in Western Canada were mostly higher for the week ended Oct. 17. There were strong gains in Canadian Western Red Spring Wheat (CWRS) and Canada Prairie Red Spring (CPRS). Meanwhile Canadian Western Amber Durum (CWAD) was steady to lower.
The Canadian dollar gained almost nine-tenths of a cent during the week, closing at 76.09 United States cents on Thursday.
Average CWRS (13.5%) wheat prices were up by C$9 to C$12 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 C$235 per tonne in southeastern Saskatchewan to as high as C$252 per tonne in southern Alberta.
Quoted basis levels varied from location to location and ranged from $27 to $44 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 Canadian prices to U.S. dollars (C$1=US$0.7609) CWRS bids ranged from US$179 to US$192 per tonne. That would put the currency adjusted basis levels at about US$19 to US$32 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$21 to C$37 below the futures.
Wheat bids for CPSR were up C$17 per tonne. Prices ranged from C$196 per tonne in southeastern Saskatchewan to C$212 per tonne in southern Alberta.
Average durum prices were steady to lower by to C$1, with bids ranging from C$267 per tonne in western Saskatchewan to C$288 per tonne in western Manitoba.
The December spring wheat contract in Minneapolis, which most CWRS contracts Canada are based off of, was quoted at US$5.52 per bushel on Oct. 17, up 16.75 cents from the previous week.
The Kansas City hard red winter wheat futures, which are now traded in Chicago, are more closely linked to CPRS in Canada. The December Kansas City wheat contract was quoted at US$4.3125 per bushel on Oct. 17, up 28 cents compared to the previous week.
The December Chicago Board of Trade soft wheat contract settled at US$5.2550 per bushel on Oct. 17, up 32.50 cents on the week.
The Canadian dollar closed at 76.09 U.S. cents on Oct. 17, up 0.87 of a cent from the previous week.