April 10, 2018

Cheese Continues to Lead Product Markets

 |  By: Know Your Market

While barrels led the cheese complex higher in Monday's trade, it was blocks turn on Tuesday. Blocks rose 3 3/4 cents after a single load traded hands to finish at $1.64. Blocks now carry a 16 1/4 cent premium over barrels which finished unchanged Tuesday after six loads traded hands.

Grade A nonfat dry milk followed the cheese complex higher rising 3/4 cents to finish at 73 1/2 cents. Butter was unchanged but traded a whopping 23 loads finishing at $2.32. Dried whey move the opposite direction from its counterparts in the spot trade dropping a penny to finish at 30 cents.

Despite the higher cheese trade the average for Class III prices from now through the end of the year finished down a penny at $15.60 per cwt. Class IV saw little volume with an average price of $14.75.

Elsewhere the USTA released the May World Ag Supply and Demand Estimates. Of note was an increase in corn ending stocks by 55 million bushels and a decline of soybean ending stocks by five 5 million bushels. Dry weather in Argentina, together with a slow planting pace in Brazil, lowered estimates for South American corn production, while a new record for Brazilian soybean production offset some of the losses experienced in Argentina.

This block is broken or missing. You may be missing content or you might need to enable the original module.