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

Farm Market News - Ontario Commodity Report farmmarketnews at lists.sentex.ca
Thu Mar 8 15:14:04 EST 2018


FARM MARKET NEWS - ONTARIO COMMODITY REPORT FOR Thu, March 8
(All Bases in CAD)
Exchange rate was 1.2948 down 0.0013
Chicago corn closed slightly to moderately higher.

      MAY18   HI 3.93  3/4                    DEC18    HI 4.10  1/4
             LOW 3.85  3/4                            LOW 4.04  1/2
            CLOSE3.93  1/2  Up 6 1/4                CLOSE 4.10  1/4  Up 4

            OLD CROP BASIS                          NEW CROP BASIS
Location    Spot   1mt   2mt   3mt U.S. $/bu   $/mt Cntrct U.S.   $/bu   $/mt
ELEVATORS        +MAY18+JUL18+JUL18
CK Low       0.65                        4.59 180.50  0.65         4.75 187.10
CK High      0.70                        4.64 182.47  0.75         4.85 191.03
CK Avg       0.69                  -0.36 4.63 182.14  0.71 -0.38   4.81 189.39
Essex Cty    0.70                        4.64 182.47  0.75         4.85 191.03
Mdsx Low     0.70                        4.64 182.47  0.70         4.80 189.07
Mdsx High    0.75                        4.69 184.44  0.75         4.85 191.03
Mdsx Avg     0.73                  -0.34 4.66 183.46  0.73 -0.37   4.83 190.05
Hensall      0.75                        4.69 184.44  0.75         4.85 191.03
Bruce        0.75                        4.69 184.44  0.75         4.85 191.03
Putnam       0.75                        4.69 184.44  0.75         4.85 191.03
Burford      0.75                        4.69 184.44  0.75         4.85 191.03
Port Perry   0.75                        4.69 184.44  0.75         4.85 191.03
Norfolk      0.75                        4.69 184.44  0.80         4.90 193.00
Palmerston   0.65                        4.59 180.50  0.65         4.75 187.10
Varna        0.75                        4.69 184.44  0.75         4.85 191.03
Trenton      0.85                        4.79 188.38  0.75         4.85 191.03
Winchester   1.02                        4.96 195.07  1.05         5.15 202.84
North Gower  0.98                        4.92 193.49  1.03         5.13 202.06
Huron FOB    0.95                        4.89 192.31  0.80         4.90 193.00
Kent FOB     0.97                        4.91 193.10  0.80         4.90 193.00
Lamb FOB     0.97                        4.91 193.10  0.80         4.90 193.00
Mdsx FOB     0.80  0.80  0.80N/A         4.74 186.41  0.70         4.80 189.07
FOB SW Que   1.20                        5.14 202.16  1.06         5.16 203.24
Track        1.13                        5.06 199.20N/A
PROCESSORS
Chat-Eth    N/A  N/A     1.07N/A                      0.92         5.02 197.73
Jhnstwn-Eth N/A  N/A   N/A   N/A                    N/A
Aylmer-Eth  N/A  N/A     1.10  1.10                   N/A
Sarn-Eth     1.00  1.00  1.00N/A         4.94 194.28N/A
Kawartha    N/A  N/A   N/A   N/A                    N/A
London-Ing  N/A  N/A     1.20N/A                      0.95         5.05 198.91
Pt.Colb-Ing N/A  N/A   N/A   N/A                    N/A
Cardnl-Ing  N/A  N/A   N/A   N/A                      1.10         5.20 204.81
W O Feed     1.30                        5.23 205.94

US Rep       1.52                        5.46 214.75
Toledo El.  -0.09                        3.84 151.35 -0.26         3.84 151.33


MID SD CRN   0.67   1/2                  4.61
HI SD CRN    0.70                        4.63 1/2
*Wet Bid


Exchange rate was 1.2948 down 0.0013
Chicago soybeans closed narrowly mixed.

       MAY18   HI 10.69  1/4          NOV18    HI 10.45  1/2
              LOW 10.56  1/2                  LOW 10.36
             CLOSE10.64   Down 1 1/4        CLOSE 10.45   Up  1/2

             OLD CROP                             NEW CROP
Location     Basis 1mt  2mt  3mt U.S.  $/bu  $/mt BasisU.S.  $/bu  $/mt
ELEVATORS         +MAY1+MAY1+JUL18
CK Low       2.20                     12.84 471.792.24      12.69 466.28
CK High      2.35                     12.99 477.302.30      12.75 468.48
CK Average   2.25                -0.6812.89 473.692.27 -0.6012.72 467.50
Essex Cty    2.30                     12.94 475.462.25      12.70 466.65
Mdsx Low     2.21                     12.85 472.162.24      12.69 466.28
Mdsx High    2.25                     12.89 473.632.30      12.75 468.48
Mdsx Average 2.23                -0.7012.87 472.892.27 -0.6112.72 467.38
Hensall      2.25                     12.89 473.632.30      12.75 468.48
Bruce        2.25                     12.89 473.632.30      12.75 468.48
Putnam       2.25                     12.89 473.632.30      12.75 468.48
Burford      2.28                     12.92 474.732.31      12.76 468.85
Port Perry   2.21                     12.85 472.162.24      12.69 466.28
Norfolk      2.20                     12.84 471.792.30      12.75 468.48
Palmerston   2.40                     13.04 479.142.35      12.80 470.32
Varna        2.25                     12.89 473.632.30      12.75 468.48
Trenton      2.25                     12.89 473.632.25      12.70 466.65
Winchester   2.25                     12.89 473.632.20      12.65 464.81
North Gower  2.20                     12.84 471.792.25      12.70 466.65
Huron FOB    2.30                     12.94 475.462.35      12.80 470.32
Kent FOB     2.40                     13.04 479.142.25      12.70 466.65
Lambton FOB  2.40                     13.04 479.142.40      12.85 472.16
Middlesex FOB2.32 2.45 2.50 2.50      12.96 476.202.35      12.80 470.32


TRANSFER
Hamilton      N/A                                 2.70      13.15 483.18
Prescott     2.58                     13.22 485.752.67      13.12 482.08

Toledo El.   -0.31                    10.33 379.53-0.39     10.06 369.73


Exchange rate was 1.2948 down 0.0013
Chicago wheat closed slightly higher.
MAY18      HI     5.02  1/2             JUL18   HI         5.18
           LOW    4.90  1/4                     LOW     5.05  3/4
           CLOSE  4.99  1/4  Up 2               CLOSE   5.15  1/4  Up 2 1/4

Minni wheat closed slightly higher.
MAY18      HI         6.25              SEP18   HI      6.38  3/4
           LOW    6.17  1/4                     LOW        6.32
           CLOSE  6.24  3/4  Up 4 3/4           CLOSE   6.38  3/4  Up 5

GFO Cash Wheat Prices - DEL Terminal
Harvest 17        Soft White(C)  Hard Red(C)    Soft Red(C)    Red Spring(M)
Basis                 1.41          1.34            1.15          0.48
CAD $/bu              6.40          6.33            6.14          6.73
CAD $/tonne         235.15        232.77          225.63        247.28


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    0.90    N/A    N/A     N/A    0.95    N/A
London      1.06    1.38   0.86    N/A    1.35    1.09   0.90    N/A
Hensall     1.05    N/A    0.90    N/A    1.10    N/A    0.95    N/A
Trenton      N/A    N/A     N/A    N/A    N/A     N/A    1.00    N/A
Bruce       1.05    1.05   0.90   0.20    1.10    0.95   0.95   0.35
Essex        N/A    N/A     N/A    N/A    N/A     N/A    0.99    N/A
Norwich     1.05    N/A    0.90    N/A    1.10    N/A    0.95    N/A
Port Hope    N/A    N/A    0.90    N/A    N/A     0.85   0.95    N/A
Kent Bridge 1.05    N/A    0.90    N/A    1.10    N/A    0.95    N/A
Chatham      N/A    N/A    0.95    N/A    N/A     N/A    1.00    N/A
Brigden      N/A    N/A    0.95    N/A    N/A     N/A    1.00    N/A
Palmerston   N/A    0.80   0.90   0.25    N/A     0.75   0.85   0.35
Varna       1.20    1.05   0.90    N/A    1.15    0.95   0.95    N/A
Mitchell    1.05    1.05   0.90    N/A    1.10    0.95   0.95    N/A
Thornton     N/A    N/A     N/A   1.29    N/A     N/A     N/A    N/A
North Gower  N/A    1.24   1.22   0.36    N/A     1.36   1.29   0.37
W O Feed                   1.48


PROCESSORS
Toledo FM    N/A    N/A    1.60    N/A    N/A     N/A    1.51    N/A

Toledo El. 4.91US         6.36CA         5.10US         6.59CA

GFO Contract Wheat Prices - DEL Terminal
Harvest 18        Soft White(C)  Hard Red(C)    Soft Red(C)    Red Spring(M)
Basis                 1.38          1.25            1.18          0.45
CAD $/bu              6.53          6.40            6.34          6.83
CAD $/tonne         239.92        235.17          232.79        251.08

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

FEED GRAINS
FOB Hm Soymeal             546.09
DDG's FOB Srn & Aylm      220.00 - 235.00

----

Ontario Grain Market Commentary for March 7, 2018

By Marty Hibbs, Grain Farmers of Ontario


Wednesday, March 7, 2018 Closing Prices
COMMODITY PERIOD PRICE WEEKLY MOVEMENT
Corn CBOT May 3.87 ↑ 13 cents
Soybeans CBOT May 10.65 ↑ 10 cents
Wheat CBOT May 4.97 ↑ 02 cents
Wheat Minn. May 6.20 ↓ 02 cents
Wheat Kansas May 5.34 ↑ 12 cents
Chicago Oats May 2.64 ↓ 06 cents
Canadian $ Mar .7731 ↓ 0.65 points

Corn:
Corn has broken the four-year-old downtrend line at the $3.75 level based on the lead month (March) contract.
>From this point, we wait and see if there is a short covering rally by the funds in the next week or so. If we do have the rally towards the $4 level based on the May contract, we should come back to the $3.75 area in the next few weeks to test this trend line for support, also based on the May contract. Initial support is now at $3.70 on the May contract while overhead resistance is at $3.95 - $4 also on the May contract. Short term indicators are positive and the main, or primary trend, is now neutral.

Soybeans:
Not much change this week as we hit our projected resistance at the $10.80 level on the May contract. The next 10 to 15 cents hold good resistance as we should soon see a correction in price. We are on the verge of negating the six-year-old down trend line and a close above $11 should confirm the break. Meanwhile, a pullback to the support level of $10.20 is quite doable. Initial support is seen on the May charts at the $10.20 level while our overhead resistance level is still at the $10.75 - $11 level.
Short term indicators are positive and the primary trend is neutral. A close above $11 would be very positive and indicate an end to our bear market.

Wheat:
The May contract is hitting resistance at the $5.20 level but continues to impress as we are now ready to pullback before an assault on the $5.20 trend line that separates the downtrend line from a breakout and trend reversal.  January 2 of this year gave us a strong red buy signal on the weekly charts and we should see yet another short covering rally if we can close above the $5.25 level on the May contract.
A possible move back to the $4.75 level on the May contract is possible but not necessary as the momentum may not allow the prices to settle back that much before another attempt at the 10-year-old trend line is challenged. Indicators are positive.  Both daily and weekly indicators are now bullish, and our primary trend is neutral with a strong bullish bias if we can close above the $5.25 price on the May contract.

Harvest 2018 Grain prices as of the close, March 7, are as follows:
SWW @ $238.66 ($6.50/bu), HRW @ $233.91/MT ($6.37/bu),
 HRS @ $248.62/MT ($6.77/bu), SRW @ $231.54/MT ($6.30/bu).
----

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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