WINNIPEG – Wheat bids in Western Canada were mostly down for the week ended Jan. 18 supported by gains in most of the United States futures markets as the Canadian was virtually unchanged for the week.
Average Canadian Western Red Spring (13.5 percent CWRS) wheat prices were up C$2 to C$3, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices ranged from about C$249 per tonne in southeastern Saskatchewan, to as high as C$270 in southern Alberta.
Quoted basis levels varied from location to location and ranged from $38 to $59 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$0.7541) CWRS bids ranged from US$188 to US$204 per tonne. That would put the currency adjusted basis levels at about US$7 to US$23 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$10 to C$31 below the futures.
Canada Prairie Red Spring (CPRS) wheat bids were stronger, increasing by around C$2 per tonne. Prices ranged from C$224 in southeastern Saskatchewan to C$246 per tonne in southern Alberta.
Average durum prices were up, with bids ranging anywhere from C$221 in northwestern Saskatchewan to C$237 in western Manitoba.
The March spring wheat contract in Minneapolis, which most CWRS contracts Canada are based off of, was quoted at US$5.7425 per bushel on Jan. 18, up by 4.25 U.S. 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 March Kansas City wheat contract was quoted at US$5.0600 per bushel on Jan. 18, up slightly by 1.5 U.S. cents compared to the previous week.
The March Chicago Board of Trade soft wheat contract settled at US$5.1775 per bushel on Jan. 18, down by 1.75 U.S. cents on the week.
The Canadian dollar was virtually unchanged at 75.41 U.S. cents, down by 0.01 of an U.S. cent.