Hard red spring wheat bids in Western Canada took strength from a weaker dollar, with bids rising in price for the week ended March 16.
Depending on the location, average Canada Western Red Spring (CWRS, 13.5 per cent protein) wheat prices rose 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 $240 per tonne in southeastern Saskatchewan to as high as $277 in most parts of Alberta. Most prices rose by $2-$4 per tonne, while in northwestern Saskatchewan and northern and southern Alberta prices rose by $19-$26 per tonne.
Quoted basis levels varied from location to location and ranged from $11 to $48 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$183 to US$212 per tonne, which was up on a U.S. dollar basis on the week. That would put the currency-adjusted basis levels at about US$17-$46 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 $23 to $60 below the futures.
Canada Prairie Spring Red (CPSR) wheat bids were down by $6 per tonne, with prices ranging from $195 to $212 per tonne.
Average durum prices were up $1-$3 per tonne, with bids across Western Canada ranging 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 16 at US$6.1175 per bushel, down 5.75 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$4.995 per bushel on March 16, down 21 U.S. cents compared to the previous week.
The March Chicago Board of Trade soft wheat contract settled at US$4.6775 on March 16, down 21.5 U.S. cents on the week.
The Canadian dollar settled March 16 at 76.41 U.S cents, down by almost 1.5 U.S. cents on the week.