Class III Milk Prices Hold On To Small Gains
We certainly hope that your time spent with family yesterday celebrating Christmas was both joyful and refreshing. As we get back to markets the CME spot session had mixed results on Wednesday.
Butter rose three cents to champion a move higher, however no trades took place. It finishes at $2.22 cents a pound. Grade A nonfat dry milk followed suit, it was up a quarter cent on a single load, finishing at 92 and a half cents. Dry whey remained unchanged with no trades taking place. It finishes once more at 49 cents.
The detractors in the spot session were block and barrel cheddar. Each moved a penny and a quarter lower to finish at $1.33 and three-quarters in the blocks, with barrels falling to $1.28 and a quarter. The spread between them now stands at five and a half cents.
Despite their lower trade, Class III milk prices held on to a small gain throughout the first half of 2019. The average for that period rose four cents to $15.10 cents per cwt. Class IV, despite the stronger butter trade, moved lower during that period falling two cents and it's average to $15.75.
The biggest movers in Wednesday's trade were found in the macro markets. Crude oil rebounded $3.70 cents a barrel to finish at 46 in a quarter. Fuel prices rose seven cents and diesel to move back upward to $1.73 while the stock market put 1,200 points back on the DOW. A commanding finish considering that the session started a few hundred points lower.