U.S. Wheat Associates Weekly Price Report October 10, 2014 Export Region Great Lakes Gulf of Mexico Pacific N. West OCT (Z14) (nearbys) FOB $/bu Percent Protein 12% (Dry) Moisture Basis NS/DNS 13.0 (14.8) NS/DNS 13.5 (15.3) NS/DNS 14.0 (15.9) NS/DNS 13.0 (14.8) NS/DNS 13.5 (15.3) NS/DNS 14.0 (15.9) HRW Ord HRW 11.0 (12.5) HRW 11.5 (13.1) HRW 12.0 (13.6) HRW 12.5 (14.2) SRW NS/DNS 13.0 (14.8) NS/DNS 13.5 (15.3) NS/DNS 14.0 (15.9) HRW Ord HRW 11.5 (13.1) HRW 12.0 (13.6) HRW 13.0 (14.8) SW Unspecified SW 10.5 (11.9) Max SW 9.5 (10.8) Max WW with 10% Club WW with 20% Club M M M M M M K K K K K C M M M K K K K $ $ $ $ $ 6.88 7.28 7.78 8.33 8.63 9.23 7.73 7.78 7.78 7.83 7.88 6.59 9.33 9.63 10.03 7.48 7.53 7.63 7.78 7.00 7.10 8.60 7.40 7.75 OCT (Z14) NOV (Z14) DEC (Z14) JAN (H15) FEB (H15) MAR (H15) APR (K15) $/bu $/MT $/MT ¢/bu $/MT ¢/bu $/MT ¢/bu $/MT ¢/bu $/MT ¢/bu $/MT ¢/bu $/MT ¢/bu Year Ago (nearbys) $/MT 0.10 0.10 0.10 0.00 0.00 0.00 0.10 0.10 0.10 0.10 0.10 0.08 0.00 0.00 0.00 0.10 0.10 0.10 0.10 0.05 0.05 0.05 0.05 0.05 4 4 4 0 0 0 4 4 4 4 4 3 0 0 0 4 4 4 4 2 2 2 2 2 253 268 286 306 317 339 284 286 286 288 289 242 343 354 369 275 277 280 286 257 261 316 272 285 135 175 225 280 310 370 195 200 200 205 210 160 380 410 450 170 175 185 200 7.00 7.10 8.60 7.40 7.75 253 268 286 306 317 339 284 286 286 288 289 242 343 354 369 275 277 280 286 257 261 316 272 285 135 175 225 280 310 370 195 200 200 205 210 160 380 410 450 170 175 185 200 7.00 7.10 8.60 7.40 7.75 253 268 286 306 317 339 284 286 286 288 289 242 343 354 369 275 277 280 286 257 261 316 272 285 135 175 225 280 310 370 195 200 200 205 210 160 380 410 450 170 175 185 200 7.00 7.10 8.60 7.40 7.75 closed closed closed 317 328 350 279 281 281 282 284 240 328 339 354 275 277 281 286 261 265 320 276 288 N/A N/A N/A 300 330 390 180 185 185 190 195 145 330 360 400 170 175 185 200 7.10 7.20 8.70 7.50 7.85 closed closed closed 317 328 350 277 279 279 281 282 240 328 339 354 275 277 281 286 261 265 320 276 288 N/A N/A N/A 300 330 390 175 180 180 185 190 145 330 360 400 170 175 185 200 7.10 7.20 8.70 7.50 7.85 closed closed closed 317 328 350 275 277 277 279 281 240 328 339 354 275 277 281 286 261 265 320 276 288 N/A N/A N/A 300 330 390 170 175 175 180 185 145 330 360 400 170 175 185 200 7.10 7.20 8.70 7.50 7.85 251 266 284 317 328 350 273 275 275 277 279 243 334 345 359 275 277 281 286 261 265 320 276 288 110 150 200 290 320 380 165 170 170 175 180 145 335 365 405 170 175 185 200 7.10 7.20 8.70 7.50 7.85 307 303 310 343 345 353 329 331 333 334 338 295 332 338 345 333 334 336 345 290 294 301 298 312 week change FOB Basis FOB Basis FOB Basis FOB Basis FOB Basis FOB Basis FOB Basis Durum: a range of prices are available depending upon various quality attributes. Offers from the Lakes range from $12.25 to $12.79/bu ($450 to $470/MT). Offers from Gulf ports range from $12.93 to $13.47/bu ($475 to $495/MT). Futures Settlements as of October 10, 2014 Chicago BOT SRW Kansas City BOT HRW Minneapolis MGE NS/DNS Chicago BOT Corn Chicago BOT Soybeans Legend: Cash: Convert: Grey positions not quoted on specific exchange DEC (Z14) $/MT 183.16 212.28 203.26 131.51 338.95 NOV (X14) $/bu 9.2250 week change $/bu 0.1025 week DEC (Z14) change $/bu $/bu 4.9850 0.1275 5.7775 0.0975 5.5320 0.0980 3.3400 0.1075 week JAN (F15) change MAR (H15) $/bu $/bu $/bu 5.0950 5.7875 5.6340 3.4675 9.3050 0.1000 9.3875 week change MAY (K15) $/bu $/bu 0.1250 5.1525 0.1000 5.7875 0.0520 5.7320 0.1050 3.5575 0.1025 9.4700 week change $/bu 0.1000 0.0825 0.0400 0.1075 0.1150 week week JUL (N15) change AUG (Q15) change $/bu $/bu $/bu $/bu 5.2275 0.0900 5.7275 0.0625 5.8320 0.0360 3.6375 0.1100 9.5375 0.1250 9.5625 0.1225 M = Minneapolis Grain Exchange; K = Kansas City Board of Trade; C = Chicago Board of Trade; $ = cash price quote; N/A = quote not available; closed = Great Lakes are closed to vessels for winter; ¢/bu = cents per bushel; Futures Contract Month: H = March; K = May; N = July; U = September; Z = December NS/DNS=Northern Spring/Dark Northern Spring (subclasses of Hard Red Spring); HRW=Hard Red Winter; SRW=Soft Red Winter; SW=Soft White; WW=Western White (White Club & Soft White) F.O.B.= "Free on board" - Seller is responsible for placing grain at the end of the loading spout. Buyer is responsible for providing the ocean vessel and for all other costs after the grain is delivered on board. Basis: The difference between the cash price and futures month for specific quality, shipping period and geographical location. Durum, SW and WW are quoted in dollars per bushel ($/bu.) rather than basis for each contract month. To compute cash price, add basis level and current futures to get price per bushel. Multiply by 36.743 to get price per metric ton. Example: Basis = 70 and Future Price = $9.00, the price per bushel is $9.00 + .70 = $9.70/bu. Price per metric ton is $9.70 * 36.743 = $356/MT. All prices are based upon U.S. number two grade or better as certified by the Federal Grain Inspection Service (FGIS). SEP (U15) $/bu 5.3400 5.8475 5.9340 3.7175 9.4800 week change $/bu 0.0850 0.0625 0.0240 0.1100 0.1175 U.S. Wheat Associates Weekly Price Report (page 2) October 10, 2014 U.S. dollars/metric ton Handymax 40-46 TMT 15 47 Panamax 54+ TMT 29 46 35 47 38 39 30 33 70 65 60 65 39 42 28 32 52 37 27 28 30 34 25 27 29 Freight Index** Week Ending 10/3/2014 9/26/2014 9/19/2014 9/12/2014 9/5/2014 8/29/2014 8/22/2014 8/15/2014 8/8/2014 8/1/2014 7/25/2014 7/18/2014 7/11/2014 7/4/2014 6/26/2014 6/20/2014 6/13/2014 6/6/2014 5/30/2014 5/23/2014 5/16/2014 5/9/2014 5/2/2014 4/25/2014 4/18/2014 4/11/2014 4/4/2014 3/28/2014 3/21/2014 41705 Note: Rates for freight leaving the Great Lakes are quoted for 18,000 MT "Salties." General Index 425.3 425.5 428.8 425.3 433.0 430.6 427.6 420.1 418.9 415.9 415.2 418.0 426.0 431.3 431.6 430.0 432.6 437.6 435.8 435.7 435.3 437.6 434.8 438.5 440.9 450.7 450.8 458.9 461.9 451.1 Grain Freight Index 514.7 511.5 514.8 508.5 517.9 517.1 513.3 507.9 506.8 505.3 505.1 508.1 511.4 518.1 520.3 519.1 521.5 530.2 530.2 529.7 528.8 530.9 529.3 533.2 536.0 539.3 536.4 542.7 546.5 540.4 Number of Fixtures 517 469 530 480 474 424 487 499 503 470 556 543 543 447 522 546 492 455 337 445 449 340 447 262 376 355 362 441 433 Ocean Freight Rate Indices 600 550 500 450 400 350 300 Jul-13 Canada 1.112 1.113 1.109 1.099 1.038 1.050 7.12% 5.90% Egypt 7.170 7.170 7.172 7.170 6.909 5.514 3.78% 30.03% EU 0.786 0.791 0.784 0.776 0.739 0.679 6.36% 15.77% Japan 107.923 108.671 109.065 108.661 97.265 89.195 10.96% 21.00% Russia Jul-14 Sep-14 Jul-14 Sep-14 General 50 40 30 20 10 0 Jul-13 Sep-13 Nov-13 Jan-14 Mar-14 May-14 Gulf origin PNW origin Selected Exchange Rates 480 40.031 39.646 38.388 38.482 32.391 29.622 23.58% 35.14% Jan-14 Mar-14 May-14 Egyptian Freight Estimates 60 euro/US dollar xx Brazil 2.385 2.487 2.399 2.364 2.211 1.746 7.89% 36.66% Nov-13 Grain Sources: *Trade representatives and recent shipments, **Maritime Research, Inc., ***Nominal Major Currencies, Federal Reserve Board Summary of Foreign Currency Exchange Rates (versus $1 U.S. dollar) Week Ending Index*** Argentina Australia 10/10/14 N/A 8.467 1.132 10/3/14 106.70 8.453 1.139 9/26/14 105.93 8.426 1.134 9/19/14 105.09 8.409 1.115 10/10/13 101.27 5.825 1.059 10/10/09 101.16 3.837 1.106 1 year change 5.44 45.36% 6.81% 5 year change 5.55 120.67% 2.29% Sep-13 0.85 1.30 0.80 1.25 1.20 0.75 1.15 0.70 1.10 0.65 1.05 0.60 1.00 0.55 0.50 Oct-13 0.95 0.90 Dec-13 Feb-14 Apr-14 euro Jun-14 Aug-14 Canadian dollar The weekly prices as reported by U.S. Wheat Associates are compiled through research from numerous market sources, including U.S. wheat exporters of all classes from various U.S. ports. The prices reported are representative of the value of number two grade and the proteins indicated. They are not intended to represent offers nor should importers of U.S. wheat rely upon them as such. Additional factors may alter these prices significantly. These factors may include: (1) payment terms (differing from cash against documents which are the terms used in the U.S. Wheat Associates price report); (2) various quality factors, and method of quality certification; (3) loading terms (USW prices represent Free on Board and do not include loading rate guarantees, stevedoring costs or other elevator tariff charges); (4) different delivery periods than indicated in monthly prices reported by U. S. Wheat Associates. U.S. Wheat Associates recommends regular contact with exporters of U.S. wheat in order to receive offers representative of your requirements. These contracts would allow importers to review contract terms and better understand the U.S. grading system, role and function of the Federal Grain Inspection Service (FGIS). Contact: For questions, please contact Casey Chumrau at (703) 650-0241 or cchumrau@uswheat.org. Canadian/US dollar Handy 25-30 TMT 17 37 40 20 30 47 34 34 $/metric ton Ocean Freight Rate Estimates by Origin* Export Import Region Region US Gulf Mexico (Veracruz) W. South America (Peru/Ecu) S. South America (Chile) N. South America (Colombia) E. South America (Brazil) West Africa (Nigeria) East Mediterranean (Italy) West Mediterranean (Morocco) Middle East (Egypt) Japan Mid Atlantic N. South America (Venezuela) West Africa (Nigeria) Middle East (Egypt) St. Lawrence N. South America (Venezuela) Europe/Rotterdam Middle East (Egypt) Great Lakes East Mediterranean (Italy) West Mediterranean (Spain) Rotterdam West Africa (Morocco/Algeria) PNW W. South America (Peru/Ecu) S. South America (Chile) N. South America (Colombia) Middle East (Egypt) East Africa (Djibouti/Mombasa) South Asia (Mal/Indon/Phil/Sing) Taiwan South Korea Japan Nearby Futures Contract Prices 10 220 9 200 cents/bushel XXl 8 $/bushel HRW Basis at PNW and Gulf Ports (ordinary protein) 240 7 180 160 140 120 100 6 80 60 5 40 20 0 Oct-13 4 Oct-13 Dec-13 Feb-14 KBOT Apr-14 Jun-14 MGE Aug-14 Oct-14 Dec-13 Feb-14 Apr-14 Jun-14 PNW CBOT Aug-14 Oct-14 Gulf HRW Protein Premiums - PNW HRS Basis at Various Ports 260 500 240 220 400 200 350 180 cents/bushel XX cents/bushel XX 450 300 250 200 160 140 120 100 80 150 60 100 40 50 0 Oct-13 20 Dec-13 Feb-14 Jun-14 PNW HRS 14 Aug-14 0 Oct-13 Oct-14 Dec-13 Feb-14 Apr-14 ords G.L. HRS 14 Jun-14 Aug-14 Oct-14 Aug-14 Oct-14 12% protein HRW Cash Prices at the Gulf SW and SRW Nearby Cash Prices 370 12 350 10 8 310 $/bushel $/metric ton 330 October 10, 2014 Weekly Price Report (page 3) U.S. Wheat Associates Gulf HRS 14 Apr-14 290 270 6 4 250 2 230 210 Sep-13 0 Nov-13 Jan-14 PNW SW Mar-14 May-14 Jul-14 Sep-14 Gulf SRW Custom graphs of historic nearby cash prices may be accessed at: http://www.uswheat.org/priceReports/nearbyCash Oct-13 Dec-13 Feb-14 Apr-14 KCBOT Futures Jun-14 Gulf HRW basis Basis and cash prices for different delivery months are also available at: http://www.uswheat.org/priceReports/deliverymonth U.S. Wheat Associates Weekly Price Report Highlights: October 10, 2014 Daily Settlement Prices (SEP14) * Wheat futures closed higher for the second consecutive week. USDA unexpectedly lowered its estimate for global ending stocks in a Friday report, providing support to futures despite an increase in the global production forecast. Wheat also found support from an easing U.S. dollar and strength in corn and soybean markets. Gains were limited by disappointing U.S. commercial sales and signs of lower world export demand. CBOT December wheat added 13 cents to close the week at $4.99/bu. KCBT and MGEX December contracts both gained 10 cents to close at $5.78/bu and $5.53/bu, respectively. CBOT December corn added 11 cents to $3.34/bu and CBOT November soybeans increased 10 cents to $9.23/bu. 6.4 6 $/bu 5.6 5.2 * In its monthly WASDE update, USDA lowered its forecast for U.S. and world ending stocks due to increased feed use and higher expected exports. USDA increased is global production estimate by 1.17 MMT to a record 721 MMT, compared to the record 715 MMT set last year. 4.8 4.4 10/6/14 10/7/14 10/8/14 CBOT KCBT 10/9/14 10/10/14 * According to USDA's weekly Export Sales Report, net sales of 372,400 MT for delivery in the 2014/2015 MGEX Wheat Futures Forward Curve * 6.00 marketing year were down 50% from the previous week and 30% from the prior 4-week average and below trade expectations of 400,000 to 600,000 MT. Total known outstanding sales and accumulated exports, through October 2, 2014 were 13.9 million metric tons (MMT), 27% lower than last year's yearto-date total of 19.2 MMT. USDA forecasts 2014/15 U.S. wheat exports (including donations) to reach 25.2 MMT. Both delivery points for the Paris-based commodity market Euronext stopped accepting wheat for the November delivery period due to slow exports and tight capacity. * The Baltic Panamax Index closed 22 points lower than last Friday at 865. 5.60 $/bu * The US Dollar Index closed higher this week at 86.05, down from 86.81. 5.20 4.80 4.40 SEP 14 DEC 14 CBOT MAR 15 KCBT MGEX MAY 15