Butter Stocks Down, Cheese Stocks Up
The CME spot trade resumed activity on Monday but with very little volume. In contrast to recent weeks the total number of loads traded on Monday was 9.
Butter remained unchanged at $2.58 ½. Blocks followed suit, finishing unchanged finishing at $1.70 ¾. Barrels also remained unchanged at $1.41 after two loads traded. Grade A nonfat dry milk won the prize for volume, trading seven loads and finishing down ¼ cent at 87 cents per pound.
The spot trade was followed by a much more anticipated USDA cold storage report. On Monday afternoon the USDA reported 310 million pounds of butter in storage, that was 5% less than June 30 of last year and 1% less than the month prior. Total natural cheese stocks increased over last year by 5% to a total of 1.316 billion pounds. That was 1% less than May, however.
Through all of this the Class III market did very little. At the end of the day the average price between now and December for Class III milk is $16.56, unchanged from Friday. Class IV had a similar tone, it was down 3 cents to a price average of $16.84 per cwt.