From press release.
Begin Quote
"Pool Return Outlooks
2008-09 crop year
DATE: October 23, 2008
Wheat, Durum Values Lower While Malting Barley Unchanged in CWB 2008-09 PRO
Winnipeg -- The CWB today released its October Pool Return Outlook (PRO) for the 2008-09 crop year. Milling wheat values declined $24 per tonne from the September PRO, while milling durum values are down $37. Feed barley is down $5 and designated barley remains unchanged from the mid-October PRO.
The decline in the Canadian dollar has helped support all four pool return outlooks, as has a dramatic drop in ocean freight rates. The Canadian dollar is at its lowest levels in four years and ocean freight rates are now approaching six year lows.
The uncertainty and concern in financial, equity and commodity markets continues to impact the buying behaviour of grain customers. In general, grain processors are attempting to reduce risk exposure. In the short term, this results in reduced inventories, hand-to-mouth purchasing and delays in capital investments. Weaker demand at a time of record world wheat supply is an underlying factor in the dramatic declines we have seen in grain market prices. In the current environment of global economic uncertainty, grain market price volatility has the potential to continue to significantly impact forecast pool returns." End quote.
source: http://www.cwb.ca/dom/db/contracts/pool_return/pro.nsf/WebPRPub/2008_20081023.html?OpenDocument&CropYr=2008-09
As expected. No comment.
Begin Quote
"Pool Return Outlooks
2008-09 crop year
DATE: October 23, 2008
Wheat, Durum Values Lower While Malting Barley Unchanged in CWB 2008-09 PRO
Winnipeg -- The CWB today released its October Pool Return Outlook (PRO) for the 2008-09 crop year. Milling wheat values declined $24 per tonne from the September PRO, while milling durum values are down $37. Feed barley is down $5 and designated barley remains unchanged from the mid-October PRO.
The decline in the Canadian dollar has helped support all four pool return outlooks, as has a dramatic drop in ocean freight rates. The Canadian dollar is at its lowest levels in four years and ocean freight rates are now approaching six year lows.
The uncertainty and concern in financial, equity and commodity markets continues to impact the buying behaviour of grain customers. In general, grain processors are attempting to reduce risk exposure. In the short term, this results in reduced inventories, hand-to-mouth purchasing and delays in capital investments. Weaker demand at a time of record world wheat supply is an underlying factor in the dramatic declines we have seen in grain market prices. In the current environment of global economic uncertainty, grain market price volatility has the potential to continue to significantly impact forecast pool returns." End quote.
source: http://www.cwb.ca/dom/db/contracts/pool_return/pro.nsf/WebPRPub/2008_20081023.html?OpenDocument&CropYr=2008-09
As expected. No comment.
Comment