Class III Markets Continue to Climb
Class III milk markets continued it's ascent in the month of April. On Thursday futures markets gained one to seven cents throughout 2018, raising the second quarter average to $14.97, and the second half closed at $16.23 per cwt. 2019 prices settled anywhere from even to five cents higher. Class IV milk dropped 11 cents in May and a penny in June. July added five cents while August and September jumped seven cents each.
CME spot product markets were mainly higher as well. Grade A nonfat dry milk lead product higher as it increased 1 1/2 cents per pound. After 21 trades, six bids and five offers dry milk ended at 79 cents per pound. Cheddar barrels traded 14 loads and 3/4 cents higher to close at $1.48 3/4. Blocks failed to trade but did find 3 bids to move its price to $1.63 1/2, up a half cent for the day. Butter and dried whey were both unchanged. Butter traded twice and stayed at $2.30 3/4 cents. Dried whey saw six bids and closed at 30 3/4 cents per pound.
In other markets crude oil ran as high as $69.29 before selling and closed at $68.23. This recent run in the crude price lead much higher prices than the diesel markets. By default contracts have now jumped 16 cents per gallon since the beginning of April, and nearly 25 cents in the last seven weeks.