850 N 4TH AVE. * WALLA WALLA, WA 99362 Walla Walla Office (509) 525-6510 Dayton Office (509) 382-2571 St. John Office (509) 648-3316 FAX (509) 529-6050 Office Hours: 7:30am to 12:00pm and 1:00pm to 4:30pm
BIDS ARE SUBJECT TO CHANGE AT ANY TIME. REMINDER PRICES ARE NOW DELIVERED COAST RED WHEAT MARKETS ARE MORNING ONLY Buying Hours: Monday - Thursday 8:30am - 11:00am and 2:30pm - 4:30pm Friday 8:30am - 11:00am and no afternoon market
Club Wheat Premium: +.00 max 12.0% protein
2018 SWH vs. SRW Futures Basis = $1.10bu. SRW Dec 2018 futures
SWH bids are for Max 10.5% Protein Market Scales Time of Delivery
14% DNS Scales: +.00/-.02 ea. 1/4 from 14%, 16% max
11.5% HRW Scales: +.03/-.07 ea. 1/2% from 11.5%, 13% max
2019 Winter Wheat RP Base Price = $6.59/bu Portland 2019Spring Wheat RP Base Price = $6.22/bu Portland *2019 Insurance Price is calculated from 8/15/18-9/14/18
2018 Winter Wheat RP Base Price = $5.92/bu. Portland 2018 Spring Wheat RP Base Price = $6.30/bu. MGE Barge Fuel Surcharge: November -0.67% = -$.002/bu. (negative means you get a credit back)
Country Elevator (truck/rail) Fuel Surcharge: November 20% = $.024/bu.
11/15/18 – Not much for news the past few days. Export sales will be out tomorrow morning. The last three weeks have seen strong export sales totals for all classes of wheat and if that continues this week then that should help stop the slide in futures. There have been a few reports of better than expected yields starting to come in from Australia which indicates that the crop is probably not any worse than the recent estimates of 16-18 mmt and could ultimately end up towards the higher end of that range.
The Weekly Top Five
These are the 5 biggest issues that NWGG feel are affecting today's markets and items to watch for as we progress through the year.
1: 11/2/18 Australia has started harvest but it is too early to determine whether production will be in line with estimates. ABARES, their version of the USDA, last estimated wheat production at 19 mmt in early Sept and won't have another estimate until December. The USDA's last estimate was 18.5 mmt in October and will update that number Nov 8th. Some private estimates have the crop below 17 mmt. 2: 11/2/18 Russia has not yet indicated that they will limit wheat exports but it has been rumored for the past two months that exports would be capped between 30-35 mmt. On days where rumors have hit the news there have been spikes in wheat prices which are quickly sold off when Russian officials deny the rumors shortly after. 3: 11/2/18 Canadian wheat areas in BC, Alberta, and Saskatchewan were hit with snow in late September as harvest was starting and some areas still aren't finished with harvest although the weather had improved the last couple of weeks. Quality problems due to wheat sitting under snow for weeks may reduce milling wheat production and increase feed wheat supplies, the question is how much. 4: 11/2/18 Winter wheat acres are set to increase this year as the drought in the Southern Plains has been relieved by heavy rains. The latest USDA estimates for total wheat acreage have an increase from 47.8 milion acres this year to 51.0 ma next year, this is combined winter and spring acres. Eastern Europe and areas of the Black Sea have been very dry since harvest and crop conditions will need to be monitored going into winter. 5: 11/2/18 U.S. wheat export sales have improved the last two weeks but remain below USDA expectations. The U.S. has sold HRW and SRW to Egypt within the last week indicating our prices are finaly competetive on the world market. If prices rally too far exports could start to suffer again which would likely put an end to rallies for HRW and DNS, SWW prices will depend on final production in Australia and have become somewhat disconnected from the other markets.