Talks of U.S. - China Deal Boost Markets
Headlines that the White House may have put together the framework for a phase one U.S. and China deal swept across the market with green print on the screen as a result. The grain complex saw the greatest gains as corn rallied 17.5 cents to $3.97 3/4, soybeans added 12.5 cents to $9.36 per bu., and the wheat complex was up 12-17 cents. More details to come.
Class III milk prices were higher as well. Fourth quarter 2019 traded 1-9 cents higher while 2020 months ranged from 2 to 13 cents stronger. Class IV markets traded 1 to 12 cents higher out through June 2020 as well.
CME spot product markets saw streth to close the week with exception to the block market. Cheddar blocks fell 2 cents to $2.10 per lb., following 5 trades. Barrels jumped 7.25 cents on 9 loads trading hands to $2.0225. Butter saw a whopping 28 loads move from seller to buyer and settled $2.09 ½, up 3 ¾ on the day. Grade A nonfat dry milk gained a quarter cent to $1.16 ½ while dry whey was also up a quarter cent to 30 ¼ per lb., 17 trades took place and 18 uncovered bids were left hanging. After 80 loads traded last week for dry whey, another 71 moved this week.
The average cheddar barrel trade price came in at 17.5 cents higher this week than the week prior.