Western Canadian wheat bids were mixed during the week ended Feb. 14, with a steady tone in Canada Western Red Spring (CWRS) bids and losses in Canada Prairie Spring Red (CPSR) as U.S. futures moved in opposite directions and the Canadian dollar weakened slightly.
Average CWRS (13.5 per cent protein) wheat prices were steady to up $1, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices ranged from about $248 per tonne in western Manitoba and southeastern Saskatchewan to as high as $269 in southern Alberta.
Quoted basis levels varied from location to location and ranged from $40 to $60 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$186 to US$202 per tonne. That would put currency-adjusted basis levels at about US$7-$23 below the futures.
Looking at it the other way around, if Minneapolis futures are converted to Canadian dollars, CWRS basis levels across Western Canada range from $9 to $30 below the futures.
CPSR wheat bids were weaker, decreasing by around $3-$4 per tonne. Prices ranged from $215 per tonne in southwestern Saskatchewan to $239 per tonne in southern Alberta.
Average durum prices were up by $1-$7 per tonne, with bids ranging from $237 to $247 per tonne across the Prairies.
The March spring wheat contract in Minneapolis, off of which most CWRS contracts Canada are based, was quoted Feb. 14 at US$5.7475 per bushel, up 6.25 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 March K.C. wheat contract was quoted Feb. 14 at US$4.815 per bushel, down 12.75 U.S. cents compared to the previous week.
The Chicago Board of Trade March soft wheat contract settled at US$5.07 per bushel on Feb. 14, down 10.25 U.S. cents on the week.
The Canadian dollar bounced around during the week, but ended roughly a fifth of a cent lower relative to its U.S. counterpart at 75.2 U.S. cents.