CNS Canada — Average cash bids for Canada Western Red Spring (CWRS) wheat were slightly lower during the week ending Monday.
The week also marked the return of Canada Prairie Spring Red (CPSR) wheat spot bids at many elevators, after only offering prices for deferred delivery for an extended period of time.
Average spot bids for CWRS (13.5 per cent protein) across Manitoba, Saskatchewan and Alberta came in at around $226 per tonne, or $6.15 per bushel, based on pricing available from a cross-section of delivery points. That compares with $228 per tonne ($6.20/bu.) the previous week.
Basis levels were at an average discount of $64 relative to the futures, from $62 last week.
Average CPRS bids came in at $186 per tonne ($5.07/bu.), with the basis average at a discount of $117 compared to the futures. Last week, there weren’t any elevators reporting spot bids for the commodity.
The July spring wheat contract in Minneapolis, which most CWRS contracts in Canada are based off of, was quoted at US$7.9075 per bushel on Monday, up 1.5 cents from the week prior.
Kansas City hard red winter wheat futures, which are now traded in Chicago, are more closely linked to CPSR in Canada. The July Kansas City wheat contract lost 7.5 cents during the week, settling at US$8.245 per bushel on Monday.
Though U.S. wheat futures were supported by concerns about drought damage in the U.S. Plains throughout the week, they were well off their highs after rain fell alleviating some of the dryness in the southern U.S. Plains on Saturday and Sunday. [Related story]
USDA’s report on Friday, which confirmed very large supplies of wheat available globally, was also bearish.
Average durum prices were slightly lower, with the average value coming in at $187 per tonne ($5.09/bu.), down from $189 per tonne ($5.14/bu.) last week.
— Terryn Shiells writes for Commodity News Service Canada, a Winnipeg company specializing in grain and commodity market reporting.