Milder Weather Dumps Grain Markets
Volume in the CME spot trade moved back to a normal pace. 29 loads traded in total, with butter again being the leader. Prices in that market remained unchanged at $2.58 ½ after 16 loads moved. Blocks moved 2 cents higher on four loads, moving to $1.65. The spread between blocks and barrels widened to 20 cents after barrels moved 1 ¼ cents higher to a final price of $1.45.
Powder dropped another ¼ cent to 86 ¾ after eight loads traded hands.
Milk markets did very little with this information, with prices from now through the end of the year dropping 4 cents on average with the final average price for that period being $16.66. Class IV markets traded more in 2018 than they did in 2017, with 2017 contracts finishing unchanged on average.
The big talk around the market on Thursday was in the grain market where updated forecasts of milder weather in the Western Cornbelt brought selling to the marketplace. Corn prices fell 15 cents on average, soybeans dropped 46 cents, and soybean meal fell $18 per ton and wheat retraced anywhere from 25 to 30 cents per bushel.