Hard red spring wheat bids in Western Canada were mixed for the week ending Oct. 20 with slight gains in some areas and slight declines in others, as losses in Minneapolis futures were countered by a drop in the Canadian dollar.
Depending on the location, average Canada Western Red Spring (CWRS, 13.5 per cent) wheat prices were up or down as much as $1 per tonne 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 $221 per tonne in western Manitoba to as high as $245 in southern Alberta.
Quoted basis levels varied from location to location, but generally held steady to range from about $4 below the futures to $20 per tonne above the futures when using the grain company methodology of quoting the basis as the difference between U.S. dollar-denomi- nated 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$175 to US$194 per tonne, which were down on a U.S. dollar basis on the week. That would put the currency-adjusted basis levels at about US$31-$50 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 $39 to $63 below the futures.
Canada Prairie Spring Red (CPSR) wheat bids were down by about $3-$6 per tonne in Alberta. Bids were also lower across most of Saskatchewan, except for the southwest where prices rose $3. Prices across the Prairies ranged from $160 to $178 per tonne.
Average durum prices fell a few dollars, with bids in southern Alberta, Saskatchewan and western Manitoba coming in at about $258-$266 per tonne.
The December spring wheat contract in Minneapolis, off of which most CWRS contracts Canada are based, was quoted at US$6.1125 per bushel on Oct. 20, down 3.75 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 December K.C. wheat contract was quoted Oct. 20 at US$4.2275 per bushel, down 13.5 U.S. cents compared to the previous week.
The December Chicago Board of Trade soft wheat contract settled at US$4.26 on Oct. 20, down 13.5 U.S. cents on the week.
The Canadian dollar settled Oct. 20 at 79.36 U.S. cents, down 0.72 U.S. cents on the week.