February 10, 2020

Dairy Markets Off To A Mixed Start

 |  By: Know Your Market

CME spot dairy trade was mixed to kick off the week. Cheddar markets wore slightly as blocks gained a penny to $1.94 following a single trade while barrels added ¾  of a cent to $1.48 and a half on two trades. Dry whey moved two loads and a half cent higher and ended at 39 and a half cent per lb. Butter lost 2 and ¾ cents and ended at $1.80 and a half with five loads traded and four uncovered offers left hanging.

The Grade A Nonfat dry milk price was also reduced a penny and ended at $1.24 per lb., just one load changed hands. Class III futures markets reacted in a bearish tone in the nearby with March losing 18 cents, April down 9 and May 10 softer. June through December remained relatively flat ranging from a couple cents lower to six cents higher. Class IV saw limited action once again falling 1 to 11 cents February through May. 

Grain prices had corn two cents lower, soybeans up a couple cents and the wheat complex six cents softer in Chicago, even in Kansas City and two cents lower in Minneapolis. Fat cattle lost $1 per cwt, feeder the same and hogs were down 90 cents. Crude oil dropped 70 cents and diesel is approaching the pivotal $1.60 gallon threshold once again.