Class III Markets Drop Double Digits
Double digit losses in the Class III milk futures market were witnessed from September 2017 all the way through December 2018. September declined 13 cents while markets in the 4th quarter were down 19 to 22 cents per cwt. First half 2018 dropped 15 to 20 cents and the last half of 2018 was down 10 to 13 cents per cwt.
Class III futures traded lower off the heels of softer product markets. Cheddar blocks moved a penny lower to finish at $1.51 per pound. Barrels also dropped a penny to close at $1.49. Butter declined 1 ½ cent and settled at $2.58 while grade A nonfat dry milk was the lone products to trade in positive territory, gaining a ¼ cent to 86 ¼ cents per pound. The February 2018 Class IV market was up a penny to $15.85 but was the only month in Class IV to change.
Excitement in grain markets was evident on Thursday. After consistently dropping since the August 10th Supply and Demand Report, a move that covered 44 ¾ cents, grain markets shot higher. The corn market set a low of $3.44 and proceeded to move 12 ¼ cents higher to close at $3.57 ¾. Soybeans also gained 12 cents.