[Farmmarketnews] Friday Ontario Commodity Report and Weekly GFO Grain Market Commentary

Farm Market News - Ontario Commodity Report farmmarketnews at lists.sentex.ca
Fri Jan 19 15:31:37 EST 2018


FARM MARKET NEWS - ONTARIO COMMODITY REPORT FOR Fri, January 19
(All Bases in CAD)
Exchange rate was 1.2473 up 0.0047
Chicago corn closed slightly higher.

      MAR18   HI 3.54                         DEC18    HI 3.87
             LOW 3.51  1/4                            LOW 3.84  1/2
            CLOSE3.52  1/2  Up 1                    CLOSE 3.85  3/4  Up  3/4

            OLD CROP BASIS                          NEW CROP BASIS
Location    Spot   1mt   2mt   3mt U.S. $/bu   $/mt Cntrct U.S.   $/bu   $/mt
ELEVATORS        +MAR18+MAY18+MAY18
CK Low       0.60                        4.13 162.39  0.60         4.46 175.48
CK High      0.65                        4.18 164.36  0.70         4.56 179.42
CK Avg       0.61                  -0.21 4.13 162.72  0.63 -0.26   4.48 176.47
Essex Cty    0.60                        4.13 162.39  0.65         4.51 177.45
Mdsx Low     0.60                        4.13 162.39  0.60         4.46 175.48
Mdsx High    0.60                        4.13 162.39  0.60         4.46 175.48
Mdsx Avg     0.60                  -0.22 4.13 162.39  0.60 -0.28   4.46 175.48
Hensall      0.63                        4.15 163.38  0.60         4.46 175.48
Bruce        0.60                        4.13 162.39  0.60         4.46 175.48
Putnam       0.60                        4.13 162.39  0.60         4.46 175.48
Burford      0.65                        4.18 164.36  0.60         4.46 175.48
Port Perry   0.65                        4.18 164.36  0.65         4.51 177.45
Norfolk      0.60                        4.13 162.39  0.60         4.46 175.48
Palmerston   0.60                        4.13 162.39  0.65         4.51 177.45
Varna        0.65                        4.18 164.36  0.60         4.46 175.48
Trenton      0.70                        4.23 166.33  0.75         4.61 181.39
Winchester   0.93                        4.46 175.39  0.85         4.71 185.33
North Gower  0.91                        4.44 174.60  0.84         4.70 184.93
Huron FOB    0.82                        4.35 171.06  0.68         4.54 178.63
Kent FOB     0.82                        4.35 171.06  0.65         4.51 177.45
Lamb FOB     0.80                        4.33 170.27  0.65         4.51 177.45
Mdsx FOB     0.65  0.65  0.65N/A         4.18 164.36  0.60         4.46 175.48
FOB SW Que   1.40                        4.93 193.89N/A
Track        1.06                        4.59 180.50N/A
PROCESSORS
Chat-Eth     0.87  0.94  0.92  0.98      4.40 173.02  0.80         4.66 183.36
Jhnstwn-Eth N/A  N/A   N/A   N/A                    N/A
Aylmer-Eth   0.85  0.85  0.85  0.80      4.38 172.24  N/A
Sarn-Eth     0.95  0.95  0.95N/A         4.48 176.17N/A
Kawartha    N/A  N/A   N/A   N/A                    N/A
London-Ing  N/A  N/A   N/A     1.05                   0.90         4.76 187.29
Pt.Colb-Ing N/A  N/A   N/A   N/A                    N/A
Cardnl-Ing  N/A  N/A   N/A   N/A                      1.05         4.91 193.20
W O Feed     1.16                        4.68 184.36

US Rep       1.16                        4.69 184.44
Toledo El.  -0.04                        3.49 137.30 -0.25         3.61 142.05


MID SD CRN   0.62   1/2                  4.15
HI SD CRN    0.65                        4.17 1/2
*Wet Bid


Exchange rate was 1.2473 up 0.0047
Chicago soybeans closed mixed.

       MAR18   HI 9.82  3/4           NOV18    HI 10.01  1/2
              LOW 9.72                        LOW 9.92  1/4
             CLOSE9.77  1/4  Up 4 1/4       CLOSE 9.96   Up 1 3/4

             OLD CROP                             NEW CROP
Location     Basis 1mt  2mt  3mt U.S.  $/bu  $/mt BasisU.S.  $/bu  $/mt
ELEVATORS         +MAR1+MAR1+MAY18
CK Low       1.70                     11.47 421.541.65      11.61 426.59
CK High      1.75                     11.52 423.381.80      11.76 432.11
CK Average   1.73                -0.5511.50 422.581.71 -0.5911.67 428.86
Essex Cty    1.70                     11.47 421.541.70      11.66 428.43
Mdsx Low     1.70                     11.47 421.541.67      11.63 427.33
Mdsx High    1.72                     11.49 422.281.75      11.71 430.27
Mdsx Average 1.71                -0.5711.48 421.911.71 -0.5911.67 428.80
Hensall      1.70                     11.47 421.541.75      11.71 430.27
Bruce        1.70                     11.47 421.541.75      11.71 430.27
Putnam       1.70                     11.47 421.541.75      11.71 430.27
Burford      1.79                     11.56 424.851.74      11.70 429.90
Port Perry   1.72                     11.49 422.281.67      11.63 427.33
Norfolk      1.70                     11.47 421.541.75      11.71 430.27
Palmerston   1.75                     11.52 423.381.75      11.71 430.27
Varna        1.70                     11.47 421.541.75      11.71 430.27
Trenton      1.70                     11.47 421.541.75      11.71 430.27
Winchester   1.74                     11.51 423.011.72      11.68 429.17
North Gower  1.67                     11.44 420.441.67      11.63 427.33
Huron FOB    1.80                     11.57 425.221.85      11.81 433.94
Kent FOB     1.85                     11.62 427.051.70      11.66 428.43
Lambton FOB  1.95                     11.72 430.731.75      11.71 430.27
Middlesex FOB1.82 1.91 1.91 1.85      11.59 425.951.78      11.74 431.37


TRANSFER
Hamilton      N/A                                 2.15      12.11 444.97
Prescott     1.82                     11.59 425.952.03      11.99 440.56

Toledo El.   -0.24                     9.54 350.37-0.37      9.59 352.23


Exchange rate was 1.2473 up 0.0047
Chicago wheat closed slightly lower.
MAR18      HI     4.27  1/4             JUL18   HI         4.53
           LOW    4.21  1/2                     LOW     4.47  1/2
           CLOSE  4.22  3/4  Down 2 1/2         CLOSE   4.48  3/4  Down 2 1/2

Minni wheat closed slightly lower.
MAR18      HI     6.13  3/4             SEP18   HI      6.26  3/4
           LOW    6.07  3/4                     LOW     6.21  1/4
           CLOSE  6.08  1/2  Down 2             CLOSE   6.21  3/4  Down 3 1/4

GFO Cash Wheat Prices - DEL Terminal
Harvest 17        Soft White(C)  Hard Red(C)    Soft Red(C)    Red Spring(M)
Basis                 0.73          0.86            0.73          0.20
CAD $/bu              4.96          5.09            4.96          6.28
CAD $/tonne         182.29        186.87          182.29        230.75


Direct MarkHarvest 2017                 Harvest 2018
           DELIVERED BASIS              DELIVERED BASIS
Location   SWW(C) HRW(C)  SRW(C) HRS(M) SWW(C)  HRW(C)  SRW(C) HRS(M)
ELEVATORS
Brgssvll     N/A    N/A    0.80    N/A    N/A     N/A    0.70    N/A
London      0.84    1.15   0.77    N/A    0.95    0.70   0.70    N/A
Hensall     0.90    N/A    0.80    N/A    0.95    N/A    0.70    N/A
Trenton      N/A    N/A     N/A    N/A    N/A     N/A    0.85    N/A
Bruce       0.85    0.85   0.75   0.15    0.90    0.70   0.65   0.30
Essex        N/A    N/A     N/A    N/A    N/A     N/A    0.54    N/A
Norwich     0.90    N/A    0.80    N/A    0.95    N/A    0.70    N/A
Port Hope    N/A    N/A    0.80    N/A    N/A     0.75   0.70    N/A
Kent Bridge 0.90    N/A    0.80    N/A    0.95    N/A    0.70    N/A
Chatham      N/A    N/A    0.80    N/A    N/A     N/A    0.70    N/A
Brigden      N/A    N/A    0.80    N/A    N/A     N/A    0.70    N/A
Palmerston   N/A    0.80   0.80   0.25    N/A     0.75   0.80   0.35
Varna       1.10    0.85   0.80    N/A    0.90    0.70   0.70    N/A
Mitchell    0.90    0.85   0.80    N/A    0.95    0.70   0.70    N/A
Thornton     N/A    N/A     N/A   0.22    N/A     N/A     N/A    N/A
North Gower  N/A    0.77   0.75   0.17    N/A     0.83   0.90   0.13
W O Feed                   1.44


PROCESSORS
Toledo FM    N/A    N/A    1.17    N/A    N/A     N/A    1.10    N/A

Toledo El. 4.13US         5.15CA         4.34US         5.40CA

GFO Contract Wheat Prices - DEL Terminal
Harvest 18        Soft White(C)  Hard Red(C)    Soft Red(C)    Red Spring(M)
Basis                 0.73          0.73            0.67          0.16
CAD $/bu              5.22          5.22            5.16          6.38
CAD $/tonne         191.71        191.71          189.42        234.28

(C)-Basis over the Chicago Board of Trade futures
(M)-Basis over the Minneapolis Grain Exchange

FEED GRAINS
FOB Hm Soymeal             462.54
DDG's FOB Srn & Aylm      230.00 - 235.00

---

Ontario Grain Market Commentary for Jan. 17, 2018

By Marty Hibbs Grain Farmers of Ontario


Corn:
Corn found its footing after the January United States Department of Agriculture (USDA) report and has confirmed support at $3.40. We are now headed to challenge the $3.55 overhead resistance on the March contract.  If we manage to close above the $3.55 price for March, I am fairly confident that we will settle in to a $3.60 - $3.70 trading range in the near future. Indicators are now neutral and there is a slight bias to the upside on the short term indicators.
Support is still seen at the $3.40 level on the March contract, while overhead resistance is seen at $3.60.
Short term indicators are still negative, with the continuation chart looking more constructive for a spring rally.
The primary trend is still down.

Soybeans:
The soybean chart reminds me of a sleeping giant in hibernation. Indicators may still be negative, but there are telltale signs that this market is ready to wake up. Even though we have seen a weak December in prices, the trading range of $9.25 - $10.30 is still intact as well as the break above the trend line witnessed back in December. Indicators are neutral and as long as the $9 level on the March contract remains intact, there is a good chance we will challenge the $10.25 level again in the month of February.
Support is seen on the March charts at the $9.50 level. A failure to hold this area could see a further decline towards the $9 - $9.20 level to retest that support area.
A close about the $10.50 top would catapult this contract at least a dollar higher in a short time frame.
Short term indicators are still negative and the primary trend is still down.

Wheat:
The January USDA report took the wind out of the sails of wheat. This may just be the washout that I mentioned in the last report. The charts are indicating that we could revisit the $4 - $4.10 level on March futures once again. However, as gloomy as it appears, there was no significant damage to the technicals. We still have the gap on the continuation chart and the $4 - $4.10 mark is the Fibonacci support level. I am still optimistic that we are close to a bottom but until we have indicators confirming this, we need to observe the trend which is still down.
Good support is seen around the $4 - $4.10 mark on the March futures chart. Overhead resistance is still viewed at $4.35.
Indicators are showing oversold conditions. Short term indicators are bullish, but the primary trend is still down.

----
Blair Andrews
Editor, AgriLink and Farm Market News
University of Guelph, Ridgetown Campus
Tel. 519-674-1500<callto:519-674-1500> x 63577
Fax. 519-674-1530<callto:519-674-1530>

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