Aug. 26 — Financial markets were in a mixed mood today and seem to drift at times with no real news to help guide them. Wheat was the only grain that showed any positive reaction today and that came on the news of a sale to Egypt and reports out of Germany of lower production estimates for their wheat crop.
The U.S. dollar is up a third of a cent today. The Canadian dollar is down 0.99 cents at US91.12 cents.
The Dow Jones September quote is up four points at 9,526.
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Crops in Saskatchewan are developing in opposite directions, the province’s latest crop report said. Growing conditions in the province vary, with some areas receiving enough rain while other locations are experiencing crop stress due to hot, dry conditions.
Crude oil is down 62 cents a barrel, at US$71.43.
Corn closed even to down one cent per bushel today; beans closed even to down five cents a bushel.
Wheat futures closed up from four to 8.5 cents a bushel on the various U.S. exchanges. Minneapolis September wheat futures closed up seven cents a bushel today.
Canola closed up $5-$7 per tonne today.
October Western Barley dropped $6 per tonne, closing at $120. November futures are down $5, at $150 per tonne.
The Canadian Wheat Board announced its first delivery calls yesterday for the 2009-10 crop year. It opened a 25 per cent call for Nos. 1, 2 and 3 CWRS, high and low protein, straight, tough or damp.
It also opened a 25 per cent call for Nos. 1 and 2 CWRW, straight, tough and damp.
The CWB also called for 25 per cent for Nos. 1 and 2 CWAD, high and low protein and No. 3 CWAD, straight, tough and damp.
It looks like quality will be the key this year to getting shipping for producers and grain companies.
Taking accurate samples at harvest as you fill your bins will be critical so you know what you have for quality. This will help you be better prepared to negotiate with the grain companies, especially if you have some good quality and or protein that they will want to use for blending. Knowing what you have and knowing what it is worth will put extra dollars in your pocket.
That’s all for today. — 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 grain producers.
Brian 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.
