Glacier Farm Media | MarketsFarm – Western Canadian cash prices for spring wheat and amber durum were lower during the week ended Jan. 9.
The United States wheat complex was down on the week, with sharp declines in Chicago wheat. Pressure came from a stronger U.S. dollar.
Average CWRS (13.5%) prices were down C$1.20 to C$7.70 per tonne, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Those prices ranged from about C$275.10 per tonne in southeastern Saskatchewan to C$301.30 per tonne in southern Alberta.
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Quoted basis levels varied from location to location and ranged from C$61.30 to C$87.40 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 Canadian prices to United States dollars (C$1=US$0.6947), CWRS bids ranged from US$191.10 to US$209.30 per tonne. That would put the currency adjusted basis levels at about US$4.60 to US$22.70 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 ranged from C$3.20 to C$15.80 below the futures.
Average CPRS (11.5%) wheat slipped C$1.50 to C$2.80 per tonne. Bids ranged from C$250.70 per tonne in southeastern Saskatchewan to C$281.10 per tonne in southern Alberta.
Average CWAD prices dipped five to 20 cents per tonne. Bids ranged from C$313.30 per tonne in northeastern Saskatchewan to C$333.10 per tonne in southern Alberta.
The March spring wheat contract in Minneapolis, which most CWRS contracts Canada are based off of, was quoted at US$5.8350 per bushel on Jan. 9, down 6.00 cents on the 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$5.5025 per bushel on Jan. 9, dipping 1.50 cents from a week ago.
The March Chicago Board of Trade soft wheat contract settled at US$5.3400 per bushel on Jan. 9, dropping 11.75 cents.
The loonie tacked on 0.11 of a cent on the week, despite a stronger U.S. dollar, settling at 69.47 U.S. cents.
