Shoe on the other foot? Look for improved grain basis at the elevator this year

Shoe on the other foot? Look for improved grain basis at the elevator this year

It’s a very different situation from two years ago — now grain companies are keen to ‘keep their pipelines moving’

A bad-news year for crop production is a good year when it comes to basis — and so farmers should be shopping around this harvest, say market analysts. “In general in years when supplies are tight locally or in a region, you would normally expect to see basis levels that are stronger than what you

Cash a barrier for hedging hogs

Cash a barrier for hedging hogs

Pork producers have received federal funding to find ways of making the futures market less risky

The Canadian Pork Council is exploring the possibility of using forward pricing programs as a risk management tool, but are concerned not all producers will have enough on-hand cash needed for hedging. “With hedging, you need to have cash for the calls and so on, security money,” explained council chairman and Manitoba producer Rick Bergmann.


calves in a feedlot

Beef industry travelling to a different drummer this year

After an extraordinary year in which all animal industry saw higher prices, beef stands alone in the continuation of lower production

2014 was a special year for the animal production industries with record-high farm-level prices for cattle, hogs, broilers, turkeys, milk and eggs. For 2015, a surprisingly fast expansion of poultry, pork and milk production will cause lower prices for those commodities. Beef stands alone in the continuation toward lower production, but prices remain uncertain. In

grain bins

Editorial: Captive grain, and captive farmers?

COFCO likley to create waves for the future of grain pricing

Those who follow livestock markets will know the term “captive cattle” — feedlot cattle owned by the large packers, and which they can use to maintain supply and/or take the pressure off rising open-market prices. In the past that’s led to some U.S. government intervention, such as mandatory reporting of purchases and prices. Recent developments


chart showing Canadian dollar value

Drozd: Harami alerts producers to impending rally in the Canadian dollar

A harami that occurs at the end of a significant move down in price and time 
will have more reliability than any other place on a chart

The Canadian dollar has rallied nearly 600 basis points in the past six weeks. This rally may have come as a surprise to some people, but not to those studying candlestick charting. The Japanese are regarded as the true pioneers of candlestick charting. The Japanese method of charting is called candlestick because the individual lines

Canola, soy poised to become ‘weather’ markets

The U.S. avian flu outbreak could cut feed demand

The ICE Futures Canada canola market had an up-and-down week, with very quiet activity some days. Overall, prices were down compared to the week prior due to weakness in outside oilseed markets. Strength seen in the Canadian currency earlier in the week was also a bearish force for canola, though it started to lose some


canola seed pods

Canola trade already looking past acreage estimate

However, fewer acres could mean tight supplies to come

ICE Futures Canada canola contracts held narrowly rangebound during the week ended April 24, but managed to move higher overall, with the biggest gains in the new-crop months. Statistics Canada’s acreage intentions report, released April 23, provided the big news for the week as far as canola was concerned. However, even the first official acreage

canola seeds

Rise in Canadian dollar pressures canola values

How a new CWB owner affects markets remains to be seen

ICE Futures Canada canola contracts dropped hard on Thursday (April 16) but managed to claw back some of those losses by Friday. The old-crop May and July contracts were both lower on the week, as a strengthening Canadian dollar provided the catalyst for a round of fund selling. The currency climbed by over two cents


Canadian Prairie wheat bids drop with U.S. futures

Average Canada Prairie Red Spring (CPRS) bids were down by $17 to $19 per tonne compared to the week prior

Cash bids for Canadian wheat were down during the week ended April 10, as losses in the U.S. futures weighed on values. Average Canada Western Red Spring (CWRS) wheat prices were down by $8 to $10 per tonne, with bids ranging from $200 per tonne in north-central Saskatchewan to $219 per tonne in Manitoba, according

Seeding conditions swaying markets from day to day

An enthusiastic Canadian dollar is a drag on canola

It was a fairly quiet period in grain and oilseed markets during the week ended April 10, with most futures prices moving lower amid a choppy spring pattern. The U.S. Department of Agriculture’s monthly supply-and-demand report was released April 9, providing some temporary direction for values, but the data was all for the 2014-15 crop