January 3, 2020

Commodities Rocked By Tensions with Iran

 |  By: Know Your Market

Commodities across the board were lower after tensions rose between the U.S. and Iran overnight. The exceptions to that were the energy space and metals as crude oil jumped $1.80 per barrel and gold was up 25. In the dairy space, cheddar block values lost 1.25 cents with 3 uncovered offers left hanging in the market and settled out at $1.89 per lb. Barrels were unchanged at $1.64 ¼. Butter closed at $1.95 per lb. also unchanged for the day. Grade A nonfat dry milk added a half cent after 3 loads moved from seller to buyer. Dry whey traded 10 times and a quarter cent higher to 31.5 cents per lb. 

Class III milk lost 13 cents while all other months in 2020 fell 1-10 cents per cwt. Class IV prices rose slightly with February, August and December all posting single digit gains. 

The grain and livestock markets fared poorly on Friday. Corn lost 5 cents while soybeans dropped 14 cents and soybean meal was down $4.50 per ton. The wheat complex fell 5 cents in Chicago, 10 cents in Kansas City and 11 cent sin Minneapolis. Live cattle and feeders each dropped $1 per cwt while hogs were limit down.