Sunflower prices continue to hold steady
Old crop prices ended the week unchanged to up 5 cents. New crop prices were unchanged to up 15 cents this week. Last year at this same time new crop NuSun prices were in a range of $14.90 to $16.65 with high oleics at $16.90 to $17.00. Looking at current new crop prices this represents an increase of $2.05 to $2.80 for NuSun prices and $1.75 to $1.95 for high oleics versus last year. Talk in the oilseed market has been dominated by headlines regarding U.S./China trade tensions. Soybean prices have dropped on talk China may not buy U.S. soybeans for the remainder of this marketing year. Chinese buyers are canceling orders for U.S. soybeans; at the same time, farmers in China are being encouraged to plant more soybeans. This is creating a dark cloud over the market and is dragging down soybean prices on the CBoT. Nearby CBoT soybean prices shed 40 cents a bushel a week ago over the uncertainty. This happened despite a neutral to bullish USDA supply and demand report a week ago. There’s also a lot more attention on the strengthening U.S. dollar. The value of the U.S. dollar hit a near term low around mid-February and has been moving steadily higher since then. Many traders believe it could become more of a headwind if the strength continues in the months ahead. In addition to news from China, weather and planting progress will remain the biggest short-term question marks for traders and will guide the market in the week ahead.