Winnipeg (MarketsFarm) – Wheat bids in Western Canada were mixed during the week ended Nov. 7, with a steady to lower tone in Canada Western Red Spring Wheat as a downtrend in the Minneapolis future weighed on values. However, the Chicago and Kansas City winter wheat contracts trended higher, which underpinned Canada Prairie Spring Red (CPSR) wheat.
Average CWRS (13.5%) wheat prices were steady to C$1 per tonne lower, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices ranged from about C$214 per tonne in northeastern Saskatchewan to as high as C$231 per tonne in southern Alberta.
Quoted basis levels varied from location to location and ranged from $23 to $40 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$0.7590) CWRS basis levels ranged from C$20 to C$37 below the futures.
However, bids for CPSR wheat were up by C$2 to C$3 per tonne. Prices ranged from C$178 per tonne in southeastern Saskatchewan to C$202 per tonne in southern Alberta.
Average durum prices were steady to down C$2 per tonne across the Prairies, with bids ranging anywhere from C$266 to C$286 per tonne.
The December spring wheat contract in Minneapolis, which most CWRS contracts Canada are based off of, was quoted at US$5.1875 per bushel on Nov. 7, down by 5.25 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$4.2775 per bushel on Nov. 7, up five cents compared to the previous week.
The December Chicago Board of Trade soft wheat contract settled at US$5.1250 per bushel on Nov. 8, up 3.75 cents on the week.
The Canadian dollar closed at 75.90 U.S. cents on Nov. 7, a decline of roughly a tenth of a cent compared to the previous week.