Class III Milk Markets Keep Moving Up
The USDA released their monthly dairy products report on Wednesday.
Total cheese output in July came to 1.09 billion pounds, 3.7% over last July and 2.7% above last month. Butter production amounted to 136 million pounds, a half percent more than a year ago, but 4.4% below June 2018 numbers. Nonfat dry milk, skim milk powder and dry whey were all below last year’s production numbers. Dry whey was down 9%.
Class III milk markets were higher once again on Wednesday. September gained 3 cents to $16.55 per cwt. October Class III milk average stands at $16.65 per cwt. The 2019 prices traded even to 10 cents higher depending on the month.
The first half of 2019 is offering $16.22 per cwt. Class IV markets saw September lose 11 cents, October 9 and November was down a penny. December 2018 through February 2019 closed even while March to December 2019 jumped 8-28 cents per cwt.
CME spot product markets resulted in butter losing 1 and ¾ cents per lb. to $2.18 and ¾ cents. Grade A nonfat dry milk gained 2 and ¾ cents Wednesday to 92 cents per lb. while dry whey added a half cent to 50 and ½ cents per lb. No changes in blocks or barrels were seen. Blocks ended at $1.70 and ½ cents while barrels closed at $1.64, respectively.