Nearby and new crop sunflower prices at the crush plants were unchanged this week. The recently released USDA supply and demand report was considered a non-event by many traders. The USDA figures were closely aligned with trade expectations and had been priced into the market. Traders will likely continue to grapple with supplies showing up on the balance sheet as the marketing year unfolds but are more concerned with weather conditions in the U.S. in the near term.
Sunflower producers are in the home stretch of wrapping up this year’s planting season as dry and warm weather allowed producers to make excellent planting progress in the past week. Planting continues in all states and is ahead of last year at this same time and the five-year average in Colorado, Kansas, Minnesota, and the Dakotas.
As of June 18, 89% of the expected 2023 sunflower acreage was in the ground, up from 72% from the week prior and ahead of the five-year average of 81%. Weather conditions are expected to continue to be favorable in the next two weeks for planting.
On June 30, USDA will release its 2023 planted acres report and will be an important factor in determining old and new crop prices. Look for demand news and position squaring ahead of USDA’s acreage report to guide the market this week.
