Wheat bids in Western Canada were down for the week ended Feb. 22, as the Canadian dollar gained ground during the week and U.S. futures dropped.
Average Canada Western Red Spring (CWRS, 13.5 per cent protein) wheat prices were down by $2-$12, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices ranged from about $239 per tonne in western Manitoba to as high as $265 in southern Alberta.
Quoted basis levels varied from location to location and ranged from $30 to $56 per tonne above the futures when using the grain company methodology of quoting the basis as the difference between U.S. dollar-denominated futures and Canadian dollar cash bids.
When accounting for currency exchange rates by adjusting Canadian prices to U.S. dollars, CWRS bids ranged from US$181 to US$201 per tonne. That would put the currency-adjusted basis levels at about US$8-$28 below the futures.
Looking at it the other way around, if the Minneapolis futures are converted to Canadian dollars, CWRS basis levels across Western Canada range from $10 to $36 below the futures.
Canada Prairie Spring Red (CPSR) wheat bids were weaker, decreasing by $7-$12 per tonne. Prices ranged from $204 per tonne in southwestern Saskatchewan to $228 per tonne in southern Alberta.
Average durum prices were down, with bids ranging anywhere from $235 per tonne in northwestern and southwestern Saskatchewan to $245 per tonne in western Manitoba.
The May spring wheat contract in Minneapolis, off of which most CWRS contracts Canada are based, was quoted Feb. 22 at US$5.645 per bushel, down 2.5 U.S. cents from the previous week.
Kansas City hard red winter wheat futures, traded in Chicago, are more closely linked to CPSR in Canada. The May K.C. wheat contract was quoted Feb. 22 at US$4.66 per bushel, down 18.5 U.S. cents compared to the previous week.
The May Chicago Board of Trade soft wheat contract settled at US$4.9175 per bushel on Feb. 22, down by 15.25 U.S. cents on the week.
The Canadian dollar closed at 75.91 U.S. cents on Feb. 22, an increase of about three-quarters of a cent from the previous week.