Rayglen’s market comments will be limited over the next couple of weeks. As always, this is the time of year our staff hits the road for crop inspections. We will be touring around all areas of Saskatchewan, Alberta, Manitoba and the northern USA. During this time, we observe and make note of how crops are looking and develop a report on what we can expect for the upcoming harvest. This information is then funneled back to you, our clients, helping producers get a better idea of how the market may perform this upcoming fall. For now, we will be giving you a general idea of how the market has been acting over the last week as a whole, and once our staff returns, we will continue with our regular comments broken down by specific commodity: ...
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Flax prices are unchanged this week. We are seeing spot brown flax in the $12.00 delivered range for a #1 and yellow flax in the $16.00-$17.00/bu range. As far as new crop prices go, they also remain sideways. New crop brown flax is being indicated at $12.00/nu picked up, while yellow has been trading as high as $16.00 picked up, both would include an act of God clause. In May, 42,000 tonnes of flax were exported, which was below normal and last year's amounts. Volumes to the EU improved while Chinese purchases declined. Exports to the US have been below normal all year as well. The CGC data shows improvements for June but the total for 2015/16 will likely end up close to 600,000 tonnes, compared to 708,000MT last year. Some off the combine selling could put temporary pressure on bids, but there is potentially a more bullish outlook. ...
Little to no change in the Canary seed market right now. Current sales are satisfied leaving the market with a bid around $0.23/lb FOB farm for #1 quality. Even with agreeable weather in the US we might expect to see an increase in those bids come new crop. Reason being, some of the most damaging weather hitting Canadian areas are Canary acres. New crop bids are floating at $0.23/lb FOB farm with an AOG, but this is generating very little interest. Canary seed is not a typical crop that gets a huge amount of acres signed before it hits the bin, but with Mother Nature being finicky it is making for a very quiet pre-harvest year. Make sure you are signed up for our email or text alerts to keep in the loop as harvest can be busy and prices can come and go. ...
The following items were of interest in today's USDA supply/demand report . . . ...
Canary seed acres are down 21% from last year according to the latest StatsCan report, which was released last week. The Saskatchewan canary crop is in good condition according to analysts and reports are leaning to above average yields. Prices are sideways with old and new crop sitting around 24 cents picked up. New crop contracts have an act of God. There is also a comfortable carry-over of supply from 2015. This likely will result in little price movement heading into the new crop. Exports have been steady which means there is a slim chance that there would be any demand driven rallies. If the price does manage to move a cent or two, make sure you are signed up for our email or text alerts to keep in the loop as harvest can be busy and prices can come and go. ...
Recent Commodity Bids
Wheat - Feed, 58lbs and dry
Movement: FOB July - August, 2016
Area: All Areas Contract Type: Spot Purchase
Movement: FOB July - July, 2016
Area: Contract Type: Spot Purchase
$0.24/lbGrade: Sound Quality
Lentils - Small green
Movement: FOB September - December, 2016
Area: Northeast Sask Contract Type: Production Contract
$0.37/lbGrade: #1 Canada