Unease in Birdseeds

PANAMA - Jun 26/16 - SNS -- Birdseed ingredient markets finished the week's trading with a weaker undertone in sympathy with general anxiety in markets following Britain's bote to leave the European Union.

The U.S. based National Sunflower Association notes that futures markets "had a rough week as bearish weather forecasts and the surprise vote in Britain to leave the European Union rattled markets.

"Sunflower prices were able to hold up better losing only 10 to 20 cents this week. A return to mostly favorable Midwest weather into early July is pressuring row crop prices and encouraging more fund liquidation as we head into next Thursday's USDA planted acreage and stocks reports," the NSA said.

"Most traders are looking for USDA to increase its current estimate of soybean acres from 82.2 million acres to near 84 million acres. Sunflower acres will also be given in the report. The market is expecting non-oil acres to show a moderate decrease from last year with oil-type acres holding steady to slightly lower than last year.

"While it will take months, if not years to know how the vote outcome in the United Kingdom will play out, it sent commodity prices off a cliff as investors moved out of risky assets and put their money into safe havens such as the US dollar and gold. Financial markets are a mess after the Brexit vote and will take a while to sort themselves out."