July 27, 2017

Butter Prices Continue to Rally

 |  By: Know Your Market

Butter was again the big winner in the CME spot trade on Thursday, trading 13 loads and gaining 6 ¼ cents to close at $2.67. Today’s butter trade puts it within a stones throw of the June 15th high of $2.70 ½, which represents the highest butter price since December 2015.

Cheddar blocks added ¾ cent and closed at $1.71 ¾. Today’s block trade marks the first load to trade hands all week. Barrels were unchanged at $1.46, while grade A nonfat dry milk dropped ¾ of a cent to close at 85 ¼ cents per pound.

Class III milk futures made small gains in 2017 with August through December prices up 1 to 8 cents per cwt. July 2017 and the first quarter of 2018 dropped 2 to 5 cents. Class IV saw July 2018 drop 8 cents.

Grain markets battled back from earlier week lows on Thursday on disappointing Wednesday rains in Iowa. Corn finished 1 ¾ cents higher at $3.87 ¾ per bushel. Soybeans added 7 cents to $10.07 per bushel, while soybean meal closed at $322 per ton, up $2.50.