Wednesday September 28, 2016, 6:10 a.m. - Yesterday was a positive day for our markets. Harvest corn closed up 2 3/4, with harvest soybeans up 7 1/4, spot winter wheat closed up 8 with spot spring wheat up 8 1/4. In the overnight trading all of our markets are negative except harvest 2017 winter wheat which is still positive on limitied trading. Oil closed up yesterday at $44.67 per barrel and is currently trading at $44.86 per barrel. Our dollar has been mostly steady over the last day with it down only 10 basis points from yesterday morning. It is now trading at $0.756 U.S.. Our dollar is usually affected with price swings in oil however recent fluctuations in the U.S. dollar versus most other major currencies has taken the upper hand. These fluctuations have been caused by talks of interest rate changes in the U.S., their current economic position and of course some fall out from their presidential election. Remember the value of our dollar versus the U.S. dollar greatly affects local basis levels. Let's talk about wheat today. Their is currently some positive news out there for the market to digest. India is rumoured to be importing more wheat then originally forecasted. Rumours are up to 5 million tonnes as compared to the expected 2 million tonnes. The Austrialian crop is being hurt by some excess moisture and also threats of frost in some growing regions. Estimates for this year's production vary widely however there seems to be a good chance of it coming in lower then originally projected. Late season harvest in Western Canada is being slowed down with rain which may also result in lower quality. Exports out of the U.S. have been strong since harvest with market year end stocks to usage ratio now projected under 50%. Once again lots of news but nothing to bring a major rally to the market. Hopefully with everything put together the market will find support and a general upturn in price would be nice. Please call Geoffrey Guy at 613-880-2707 if you would like any direct ship pricing. We have prices right up to next years harvest. Prices quoted herein are for product at our elevator.
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The U.S. and Canada are reporting more instances of Fusarium head blight in the 2016 durum wheat crop than the prior year's harvest. Infected wheat will suffer severe quality discounts or even rejection by end users, causing farmers to lose money.