Dairy Back In The Green After Treacherous Decline
The USDA released its November edition of the Milk Production report on Wednesday.
Across the United States, milk production grew by a half a percent. October’s production number was revised lower from 1.3% year-over-year growth to 1%. Milk cows in the U.S. herd came in a 9,331,000 and milk per cow was at 1,869 pounds for the month. Total milk production for November came in at 17,440,000 lbs.
The dairy complex finally found some newfound buying in the market after a treacherous seven-day decline. Cheddar blocks added 5 and ¾ cents per lb. and settled out at $1.80 per lb. – four trades took place. Cheddar barrels traded six loads and 4 and ½ cents higher to settle out at $1.61 and ½ per lb.
Butter moved zero loads but was bid a quarter cent stronger to $1.99 per lb. Grade A nonfat dry milk lost ¾ of a cent and settled at $1.24 and ¼ after six loads traded. Dry whey closed at 31 and 1/2, up a half cent on the day.
Class III prices closed 38-42 cents in the green on Wednesday whereas we were up 24-28 cents in the second quarter. Second half 2020 added 9-17 cents as well.