Winnipeg,(MarketsFarm) – Wheat bids in Western Canada were narrowly mixed during the week ended Aug. 15, with losses in the United States futures countered by support from a softer Canadian dollar.
The Canadian dollar was down by roughly a third of a cent relative to its United States counterpart, while the futures were all lower following bearish U.S. Department of Agriculture production estimates.
Average CWRS (13.5 percent) wheat prices were up by C$1 to down by C$1 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$208 per tonne in southeastern Saskatchewan to as high as C$227 per tonne in southern Alberta.
Quoted basis levels varied from location to location and ranged from $19 to $37 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$0.7505) CWRS basis levels ranged from C$26 to C$44 below the futures.
Wheat bids for CPSR were up C$3 to down C$6 per tonne. Prices ranged from C$171 per tonne in south eastern Saskatchewan to C$187.50 per tonne in southern Alberta.
Average durum prices were steady to lower, with bids ranging anywhere from C$230 to C$240 per tonne.
The December spring wheat contract in Minneapolis, which most CWRS contracts Canada are based off of, was quoted at US$5.1475 per bushel on August 15, down 17.25 cents from the previous week.
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 quoted at US$4.0425 per bushel on August 15, down 30.75 cents compared to the previous week.
The December Chicago Board of Trade soft wheat contract settled at US$4.7450 per bushel on August 15, down 25.50 cents on the week.
The Canadian dollar closed at 75.05 U.S. cents on August 15, a decrease of roughly a third of a cent compared to the previous week.