Glacier Farm Media | MarketsFarm – Western Canadian cash prices for spring wheat were mixed during the week ended May 1, while those for amber durum fell back.
Losses in the United States wheat complex pushed prices lower, as the planting of spring wheat picked up its pace with supportive weather. At 30 per cent finished, it’s nine points ahead of the five-year average. Also, the condition of U.S. winter wheat improved four points at 49 per cent good to excellent.
Additional pressure on cash prices came from a stronger Canadian dollar. The loonie added almost two-tenths of a cent, settling at 72.28 U.S. cents.
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CWRS
Average CWRS (13.5%) prices slipped C$0.80 to gaining C$5.80 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$281.50 per tonne in southeastern Saskatchewan to C$308.90 per tonne in southern Alberta.
Quoted basis levels varied from location to location and ranged from C$62.70 to C$90.10 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$0.7228), CWRS bids ranged from US$203.50 to US$223.30 per tonne. That would put the currency-adjusted basis levels at about US$15.40 below to US$4.50 above 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$11.10 below to C$3.30 above the futures.
CPRS, Durum
Average CPRS (11.5%) wheat lost C$5.00 to bumping up C$0.50 per tonne. Bids ranged from C$251.80 per tonne in southeastern Saskatchewan to C$274.00 per tonne in southern Alberta.
Average CWAD prices pulled back 3.60 to C$21.60 per tonne. Bids ranged from C$319.80 per tonne in southern Alberta to C$331.40 per tonne in southwestern Saskatchewan.
U.S. Wheat
The July spring wheat contract in Minneapolis, which most CWRS contracts Canada are based off of, was quoted at US$5.9550 per bushel on May 1, down 12.25 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 July Kansas City wheat contract was quoted at US$5.2750 per bushel on May 1, falling 23.25 cents from a week ago.
The July Chicago Board of Trade soft wheat contract settled at US$5.3100 per bushel on May 1, forfeiting 13.50 cents.
