Wheat bids in Western Canada fell for the week ended March 23, taking direction from falling U.S. futures and a higher Canadian dollar.
Average Canada Western Red Spring (CWRS, 13.5 per cent) wheat prices fell across the Prairie provinces, according to price quotes from a cross-section of delivery points compiled by PDQ (Price and Data Quotes). Average prices ranged from about $237 per tonne in western Manitoba to as high as $251 in northern Alberta. In Alberta prices fell by $18-$28 per tonne, while across the rest of the Prairies prices dropped by $2-$9 per tonne.
Quoted basis levels varied from location to location but overall prices were $22 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$184 to US$195 per tonne, which was down on a U.S. dollar basis on the week. That would put the currency-adjusted basis levels at about US$34-$45 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 $43 to $57 below the futures.
Canada Prairie Spring Red (CPSR) wheat bids were down by $11-$14 per tonne, with prices ranging from $182 to $199.
Average durum prices were mixed, with some unchanged while others fell by $1-$2 per tonne. Bids across Western Canada ranged from $255 to $266 per tonne.
The May spring wheat contract in Minneapolis, off of which most CWRS contracts Canada are based, was quoted March 23 at US$6.0275 per bushel, down nine 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 at US$4.7525 per bushel on March 23, down 24.25 U.S. cents compared to the previous week.
The March Chicago Board of Trade soft wheat contract settled March 23 at US$4.6025, down 7.5 U.S. cents on the week.
The Canadian dollar settled March 23 at 77.78 U.S. cents, up by almost 1.37 U.S. cents on the week.