World Dairy Markets Bounce Back
World dairy markets bounced back today after four consecutive trading sessions in the red. In the aggregate, dairy prices climbed 2.7% on New Zealand’s Global Dairy Trade Auction today.
It’s the first positive auction since May 7th. Volume was moderate, with 25,000 metric tons trading hands this morning.
Skim milk powder (SMP) showed the largest percentage increase of the major commodities, climbing 3.8% to $1.14/lb. Whole milk powder was up 3.6%, to $1.39.
Cheddar cheese rose to $1.76/lb, up 3.3%. And butter was up 1.7% to $2/lb.
U.S. prices remain competitive for cheddar (but just barely) and SMP. U.S. prices for butter and whole milk powder are trading well above world prices.
For more on the auction, click here.