Wittal: wheat rallies; keep an eye on CWB fixed price contracts

Our online grain markets columnist Brian Wittal welcomes feedback and information on market conditions in your area, such as current offering prices, basis levels, trucking premiums and special crops contracts. Contact Brian today.

Grain markets were inspired today and have technically turned bullish this past week with the steady movements seen in the futures. Weather uncertainties will continue to build on this bullishness over the next few weeks as seeding tries to progress.
 
The Dow Jones closed up 22 points today.  The US dollar finished down 1/5 of a cent.  The Canadian dollar was up .68 cents to close at US$.8450. Crude oil finished up $2.08, closing at US$53.20/ barrel for the day.

Corn finished up 10 to 12 cents/bu today and up 34 cents for the week, beans finished up 22 to 36 cents/bu today, or up 98 cents for the week, and wheat was up 13 to 33 cents/bu today for a total of 37 cents up for the week.

Canola was up $1 to $4/tonne for the day and up $6/tonne for the week, and barley was up $2.10 closing at $141.00/tonne. The continued surge in the Canadian dollar has made canola slightly overvalued compared to beans now and held canola to limited gains again today.  

Wheat futures have surged nicely this week and this is all weather- and seeding-related so this may continue on for a while longer but it will abate as seeding progresses over the next few weeks.

CWB FPC values are getting very near the PRO values for new crop. Do you have a strike price in place to take advantage of a further rally while you are in the fields? If not you need to look at this and get a plan in place that makes sense for your operation.

Spring is here and you will be hitting the fields hard and fast, take the time to ensure your safety in everything you are doing.

That’s all for this week.
Brian

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