Feb. 13 — Markets were a little more active today but not for the better. March crude oil futures jumped $3.53 a barrel to close at US$37.45. This was probably more due to the fact that the March contract is nearing expiry than anything else.
April crude was down 20 cents a barrel, closing at US$41.97; add to that the Canadian dollar jumping by over one cent today, and calls for better weather in Argentina next week, and you have plenty of reasons for the oilseed markets to fall again today, along with beans and canola under pressure and falling lower again today.
With deliveries of canola picking up the past two weeks we have seen basis levels start to widen back out by $5 to $14 per tonne as the grain companies are getting in the tonnes they need to cover sales, so their need is not so great anymore.
Corn was down two to three cents a bushel, beans were down seven to 14 cents a bushel and wheat was down one to six cents a bushel. Canola was down $3 to $5 per tonne and barley finished up $1 to $3 per tonne for the day.
The Canadian dollar is up US1.16 cents, closing at US80.94 cents.
Spring is around the corner and a lot of grain is still on farm, waiting to be delivered and/or sold. Keep in contact with your grain company rep to ensure you are on their delivery list and haven’t been forgotten. Talk to them weekly and keep on them or you may be left to haul during spring work or later in the summer. The squeaky wheel theory works!
Enjoy the long weekend. — Brian
Brian Wittal has spent over 27 years in the grain industry, including as an elevator manager and producer services representative for Alberta Wheat Pool, a regional sales manager for AgPro Grain and farm business representative for the Canadian Wheat Board, where he helped design some of the new pricing programs. He also operates his own company providing marketing and risk management advice for Prairie grain producers. Brian’s daily commentaries focus on how domestic and world market conditions affect you directly as a grain producers. He welcomes feedback and information on market conditions in your area, such as current offering prices, basis levels, trucking premiums and special crops contracts.