Sunflower prices down or unchanged

Traders were expecting a bearish USDA supply and demand report a week ago and USDA did not disappoint. USDA raised its outlook for yield and production for both corn and soybeans beyond all trade expectations in its monthly report. Soybean production is seen at 4.586 billion bushels. This compared with analyst projections of 4.407 billion bushels. In July, the government estimated output at 4.31 billion bushels. Carryover stocks were pegged at 785 million bushels according to USDA. Analysts had expected 638 million bushels and the USDA in its July forecast said 580 million bushels would be in storage at the end of the next marketing year. USDA’s new crop ending stocks estimate, at 785 million bushels, exceeds pre-report expectations by more than 205 million bushels. World ending stocks for new crop soybeans came in at 105.94 million metric tons, up 7.7 million metric tons, driven mostly by higher U.S. production. If realized, this would set U.S. and World carryout to new record highs. After the report was released soybean prices were down hard and some in the trade think the numbers suggest we have not yet seen the bottom. A week ago sunflower prices at the crush plants were down 15 cents to unchanged. In most areas the crop continues to develop ahead of the five-year average pace. In states reporting crop conditions, the crop is being rated at 69 to 73 percent good to excellent condition.