Butter Jumps Nearly a Dime
Butter markets where shot out of a cannon on Wednesday as they jumped 9 1/2 cents per pound and closed at $2.33 1/2 with 12 loads traded while 12 bids and four offers were left unfilled.
Cheddar blocks were bid a quarter-cent higher to $1.55 1/4, and cheddar barrels traded five times and a half-cent higher to $1.45 per pound. Grade A nonfat dry milk gained 1 3/4 cents to 70 3/4 cents per pound after trading three times and having 12 uncovered bids. Dried whey was changed at 28 cents.
Class III futures borrowed strength from the butter market as prices were two cents higher in April, up 18 in May and 17 cents stronger in June. Second half prices added 3 to 9 cents per cwt. The April through December average now stands at $15.51 per cwt. Class IV prices moved higher as well. April through August gained 11 to 17 cents, while September onward grew 5 to 9 cents.
In other news, China hinted at applying a 25% tariff to U.S. soybeans. Beans were down as much as 50 cents per bushel on the release of the news but battled back and closed 22 to 23 cents lower. Corn closed 7 1/4 cents lower but dropped as much as 16 cents during the session.