Class III Milk Surprises Dairy Markets
There was a standout in the crowd on Monday’s trade: April Class III milk rose 22 cents to finish at $14.55 per cwt. It was head and shoulders above all the other contracts around it and throughout the balance of 2018. In the end, the average price for the year finished at $15.28, up just a nickel. Class IV markets remain nearly unchanged, rising just a penny in its average for the balance of 2018, and finishing at $14.13.
All of this comes on the heels of a lackluster product trade. Butter, being the leader, dropped 2 ¾ cents after 15 loads traded hands to finish at a price of $2.1825 per pound. Blocks dropped a quarter cent as well, finishing at $1.5825 after two loads moved from seller the buyer. Barrels remained unchanged in a quiet session where no bids or offers were tendered and thus no trades finishing at $1.56. Grade A nonfat dry milk was down a quarter cent to 68 ¾ cents, it made two trades happen. Dry whey remained quiet as well unchanged. No trades finishing at 29 and a quarter cent. Now, after a week of spot trade, whey futures have also risen. What's left of the first half of the year has risen to an average price of 27 and a quarter cent. The second half of the year has climbed to an average of 29.5 cents.