[Farmmarketnews] Wednesday Ontario Commodity Report & GFO Grain Commentary

Farm Market News - Ontario Commodity Report farmmarketnews at lists.sentex.ca
Wed Jan 23 15:25:37 EST 2019


FARM MARKET NEWS - ONTARIO COMMODITY REPORT FOR Wed, January 23
(All Bases in CAD)
Exchange rate was 1.3336 up 0.0004
Chicago corn closed narrowly mixed.

      MAR19   HI 3.81  3/4                    DEC19    HI 4.03  1/4
             LOW 3.78                                 LOW 4.01
            CLOSE3.78  3/4  Down  1/4               CLOSE 4.02  1/4  Up 1 1/2

            OLD CROP BASIS                          NEW CROP BASIS
Location    Spot   1mt   2mt   3mt U.S. $/bu   $/mt Cntrct U.S.   $/bu   $/mt
ELEVATORS        +MAR19+MAY19+MAY19
CK Low       0.95                        4.74 186.51  0.85         4.87 191.82
CK High      0.95                        4.74 186.51  0.90         4.92 193.79
CK Avg       0.95                  -0.24 4.74 186.51  0.86 -0.35   4.88 192.22
Essex Cty    0.95                        4.74 186.51  0.85         4.87 191.82
Mdsx Low     0.95                        4.74 186.51  0.85         4.87 191.82
Mdsx High    0.95                        4.74 186.51  0.85         4.87 191.82
Mdsx Avg     0.95                  -0.24 4.74 186.51  0.85 -0.36   4.87 191.82
Hensall      0.95                        4.74 186.51  0.85         4.87 191.82
Bruce        0.95                        4.74 186.51  0.85         4.87 191.82
Putnam       0.95                        4.74 186.51  0.85         4.87 191.82
Burford      0.95                        4.74 186.51  0.85         4.87 191.82
Port Perry   0.95                        4.74 186.51  0.90         4.92 193.79
Norfolk      0.95                        4.74 186.51  0.85         4.87 191.82
Palmerston   0.95                        4.74 186.51  0.85         4.87 191.82
Varna        0.95                        4.74 186.51  0.85         4.87 191.82
Trenton      0.95                        4.74 186.51  0.90         4.92 193.79
Winchester   1.15                        4.94 194.38  1.15         5.17 203.63
North Gower  1.15                        4.94 194.38  1.12         5.14 202.45
Huron FOB    1.25                        5.04 198.32  0.95         4.97 195.76
Kent FOB     1.20                        4.99 196.35  0.90         4.92 193.79
Lamb FOB     1.30                        5.09 200.29  0.95         4.97 195.76
Mdsx FOB     1.25  1.25N/A   N/A         5.04 198.32  0.95         4.97 195.76
FOB SW Que   1.55                        5.34 210.13N/A
Track        1.50                        5.29 208.16N/A
PROCESSORS
Chat-Eth    N/A  N/A   N/A     1.56                   1.14         5.16 203.24
Jhnstwn-Eth N/A  N/A   N/A   N/A                      1.14         5.16 203.24
Aylmer-Eth  N/A    1.47  1.50  1.52                   1.14         5.16 203.24
Sarn-Eth    N/A    1.50  1.45  1.50                 N/A
Kawartha    N/A  N/A   N/A   N/A                    N/A
London-Ing  N/A  N/A   N/A     1.55                   1.15         5.17 203.63
Pt.Colb-Ing N/A  N/A   N/A   N/A                    N/A
Cardnl-Ing  N/A  N/A   N/A   N/A                      1.25         5.27 207.57
W O Feed     1.68                        5.47 215.32

US Rep       1.81                        5.60 220.36
Toledo El.  -0.13                        3.65 143.86 -0.27         3.76 147.88


MID SD CRN   0.95                        4.73 3/4
HI SD CRN    0.95                        4.73 3/4
*Wet Bid


Exchange rate was 1.3336 up 0.0004
Chicago soybeans closed slightly higher.

       MAR19   HI 9.18  1/4           NOV19    HI 9.57
              LOW 9.10  1/2                   LOW 9.51  1/4
             CLOSE9.15   Up 5 3/4           CLOSE 9.56  1/4  Up 6

             OLD CROP                             NEW CROP
Location     Basis 1mt  2mt  3mt U.S.  $/bu  $/mt BasisU.S.  $/bu  $/mt
ELEVATORS         +MAR1+MAR1+MAY19
CK Low       2.07                     11.22 412.262.25      11.81 434.04
CK High      2.10                     11.25 413.372.30      11.86 435.87
CK Average   2.09                -0.7211.24 413.152.28 -0.6611.85 435.28
Essex Cty    2.10                     11.25 413.372.35      11.91 437.71
Mdsx Low     2.10                     11.25 413.372.30      11.86 435.87
Mdsx High    2.11                     11.26 413.732.31      11.87 436.24
Mdsx Average 2.11                -0.7111.26 413.552.31 -0.6411.87 436.06
Hensall      2.15                     11.30 415.202.30      11.86 435.87
Bruce        2.10                     11.25 413.372.30      11.86 435.87
Putnam       2.10                     11.25 413.372.30      11.86 435.87
Burford      2.11                     11.26 413.732.31      11.87 436.24
Port Perry   2.07                     11.22 412.262.27      11.83 434.77
Norfolk      2.10                     11.25 413.372.30      11.86 435.87
Palmerston   1.95                     11.10 407.862.35      11.91 437.71
Varna        2.05                     11.20 411.532.30      11.86 435.87
Trenton      2.10                     11.25 413.372.30      11.86 435.87
Winchester   2.10                     11.25 413.372.31      11.87 436.24
North Gower  2.22                     11.37 417.782.25      11.81 434.04
Huron FOB    2.20                     11.35 417.042.40      11.96 439.55
Kent FOB     2.20                     11.35 417.042.30      11.86 435.87
Lambton FOB  2.00                     11.15 409.692.40      11.96 439.55
Middlesex FOB2.08 2.22 2.35 2.39      11.23 412.632.43      11.99 440.65

PROCESSORS
Windsor      2.66  N/A  N/A  N/A      11.81 433.942.79      12.35 453.88

TRANSFER
Hamilton     2.40                     11.55 424.392.75      12.31 452.41
Prescott     1.90                     11.05 406.022.65      12.21 448.73

Toledo El.   -0.60                     8.55 314.15-0.53      9.03 331.81


Exchange rate was 1.3336 up 0.0004
Chicago wheat closed slightly higher.
MAR19      HI         5.27              JUL19   HI      5.38  1/4
           LOW    5.21  3/4                     LOW        5.33
           CLOSE  5.26   Up 4 3/4               CLOSE   5.37  1/2  Up 4 3/4

Minni wheat closed slightly higher.
MAR19      HI         5.79              SEP19   HI      5.95  1/4
           LOW        5.72                      LOW        5.90
           CLOSE  5.75  1/2  Up 3 1/2           CLOSE   5.92  1/2  Up 2 1/2

GFO Cash Wheat Prices - DEL Terminal
Harvest 18        Soft White(C)  Hard Red(C)    Soft Red(C)    Red Spring(M)
Basis                 1.62          1.69            1.49          0.85
CAD $/bu              6.88          6.95            6.75          6.61
CAD $/tonne         252.85        255.30          247.95        242.80


Direct MarkHarvest 2018                 Harvest 2019
           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    1.30    N/A    N/A     N/A    1.20    N/A
London      1.53    1.40   1.33    N/A    1.55    1.42   1.28    N/A
Hensall     1.50    N/A    1.30    N/A    1.55    N/A    1.20    N/A
Trenton      N/A    N/A     N/A    N/A    N/A     N/A    1.20    N/A
Bruce       1.50    1.55   1.30   1.10    1.50    1.45   1.20   1.00
Essex        N/A    N/A    1.30    N/A    N/A     N/A    1.25    N/A
Norwich     1.50    N/A    1.30    N/A    1.55    N/A    1.20    N/A
Port Hope    N/A    N/A    1.30    N/A    N/A     1.30   1.20    N/A
Kent Bridge 1.50    N/A    1.30    N/A    1.55    N/A    1.20    N/A
Chatham      N/A    N/A    1.30    N/A    N/A     N/A    1.25    N/A
Brigden      N/A    N/A    1.30    N/A    N/A     N/A    1.25    N/A
Palmerston   N/A    1.60   1.15   1.10    N/A     1.50   1.20   1.00
Varna       1.50    1.60   1.30    N/A    1.40    1.50   1.20    N/A
Mitchell    1.50    1.30   1.30    N/A    1.55    1.30   1.20    N/A
Thornton     N/A    N/A     N/A   0.86    N/A     N/A     N/A    N/A
North Gower  N/A    1.45   1.30   0.64    N/A     1.53   1.38   0.64
W O Feed                   1.87


PROCESSORS
Toledo FM    N/A    N/A    1.95    N/A    N/A     N/A    1.91    N/A

Toledo El. 5.21US         6.95CA         5.23US         6.95CA

GFO Contract Wheat Prices - DEL Terminal
Harvest 19        Soft White(C)  Hard Red(C)    Soft Red(C)    Red Spring(M)
Basis                 1.58          1.64            1.44          0.83
CAD $/bu              6.95          7.02            6.82          6.75
CAD $/tonne         255.44        257.88          250.55        248.10

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

FEED GRAINS
FOB Hm Soymeal             490.43
DDG's FOB Srn & Aylm       185.00


Futures Prices as of close, January 23, 2019
Commodity Period Price Weekly Movement
Corn CBOT Mar 3.79 ↑ 05 cents
Soybeans CBOT Mar 9.16 ↑ 20 cents
Wheat CBOT Mar 5.26 ↑ 14 cents
Wheat Minn. Mar 5.75 ↑ 10 cents
Wheat Kansas Mar 5.15 ↑ 20 cents
Oats CBOT Mar 2.95 ↓ 01 cents
Canadian $ Mar 0.7500 ↓ .55 points


Corn:

Corn continued to track sideways and maintained its neutral status. We are in a $3.60 - $3.80 triangle formation and may continue to track that way until we see the re-appearance of government reports. We may get a few surprises when the reports finally show up on the news wires.
Indicators this week continue to be mixed with the short-term trend showing downward pressure while the intermediate upward trend is still intact and, of course, the primary trend is still down.

Soybeans:
Like the other grains, soybeans continue to gradually move higher although at a snail’s pace. We are looking at an ascending triangle pattern which is usually a precursor to building momentum. This means we could see higher prices into the spring market. Before we get too excited, we have a couple of major barriers to overcome. The first one is the $9.60 price point on March futures, and if successful, the major trend line at the $10.80 level could be challenged later this spring. Meanwhile, the absence of reports from the U.S. government could lead to much volatility in the coming weeks and months.
The March futures support is now at the $9 level and a close below that level will likely be cause for more downside probing.
Short-term indicators are now neutral while the primary trend remains down. The support line is at $9 and resistance remains at the $9.40 level on the March contract.

Wheat:

Wheat gained strength over the past week and I feel we should see resistance at the $5.35 level on the March futures. If we close above there, we open the door to a more substantial target of $5.40 which is the December high. We now have our support line well established at the $5 mark on the March futures and our overhead resistance stands at the $5.40 level. We need to stay above the $5 support to keep the positive tone in the futures.
Overall, the weekly charts still look very constructive and if I had to make a decision on marketing, I would be looking for higher prices in the spring.
All indicators are neutral to bullish.

Starting on February 6, 2019, Grain Farmers of Ontario will be hosting online webinars for those interested in learning how to utilize futures and options for hedging purposes in most agricultural products. These webinars will be hosted by myself. You can call me directly at 519-767-4123 or signup online at  https://gfo.ca/event/grain-marketing-webinar-intro-to-futures/.

Marty Hibbs, Grain Farmers of Ontario


Cash Grain prices as of the close, January 23, 2019 are as follows:
SWW @ $252.69/MT ($6.88/bu), HRW @ $255.25/MT ($6.95/bu),
 HRS @ $247.89/MT ($6.75/bu),  SRW @ $247.89/MT ($6.75/bu).



Register now for the GFO Grain Marketing Webinar: Intro to Futures, which will be held at noon on February 6, 2019. Here is the link to the online registration form: https://gfo.ca/event/grain-marketing-webinar-intro-to-futures/
Grain Marketing Webinar: Intro to Futures – Grain Farmers of Ontario - gfo.ca<https://gfo.ca/event/grain-marketing-webinar-intro-to-futures/>
gfo.ca
Grain Farmers of Ontario is the province’s largest commodity organization, representing Ontario’s 28,000 barley, corn, oat, soybean and wheat farmers.


---
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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