Glacier FarmMedia—Western Canadian spring wheat bids were steady to higher during the week ended April 11, while durum prices fell below the C$400 per tonne mark entirely.
Canada exported 505,700 tonnes of wheat during the week ended April 7, compared to 396,100 the previous week, according to the Canadian Grain Commission (CGC). So far this marketing year, total exports were 14.769 million tonnes, exceeding the figure from one year ago at 13.926 million.
The United States Department of Agriculture (USDA) released its April supply/demand estimates on April 11, which showed 2023-24 U.S. wheat ending stocks at 698 million bushels, an increase of 25 million from the last report and eight million more than trade expectations. U.S. wheat exports were left unchanged at 710 million bushels, while sales during the week ended April 4 were 80,700 tonnes for old crop and 274,400 tonnes for new crop, within trade expectations.
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The USDA also rated the U.S. winter wheat crop at 56 per cent good to excellent, the highest rating at this time in four years. However, hard red winter wheat growing areas are being stressed by heat and windy conditions. Rain will fall in eastern HRW areas within the next seven days, while the Northern Plains and parts of the Prairies will see healthy amounts of precipitation early next week.
Canadian Western Red Spring (CWRS) wheat prices were down C$0.10 to up C$4.10 per tonne, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices were between C$296.70/tonne in southeast Saskatchewan to C$316.10 in southern Alberta.
Quoted basis levels ranged from between C$62.60 to C$82.10/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.
Accounting for exchange rates and adjusting Canadian prices to U.S. dollars (C$1=US$0.7304), CWRS bids were from US$216.70 to US$230.90/tonne. Currency adjusted basis levels ranged from US$3.20 to US$17.40 below the futures. If the futures were converted to Canadian dollars, basis levels would be C$2.30 to C$12.70 below the futures.
Meanwhile, Canadian Prairie Red Spring (CPRS) prices were up C$2.80 to C$8.50/tonne. The lowest average bid for CPRS was C$270 in southeast Saskatchewan, while the highest average bid was C$290.90 in southern Alberta.
The average prices for Canada Western Amber Durum (CWAD) were down C$2.20 to C$4.80 per tonne with bids between C$390.50 in northwest Saskatchewan to C$399.20 in western Manitoba.
The May spring wheat contract in Minneapolis, which most CWRS contracts are based off of, was quoted at US$6.37 per bushel on April 11 and 9.25 U.S. cents lower than the previous week.
The Kansas City hard red winter wheat futures, which are now traded in Chicago, are more closely linked to CPSR in Canada. The May contract was quoted at US$5.8325/bu., up 5.75 U.S. cents.
The May Chicago Board of Trade (CBOT) wheat contract lost 4.5 U.S. cents from the previous week at US$5.5175/bu.
The Canadian dollar dropped 0.56 of a U.S. cent to close at 73.04 cents U.S. on April 11.
—Adam Peleshaty reports for MarketsFarm from Stonewall, Man.
