Dairy Markets Rally on USDA Food Box News
USDA has approved $1.27 billion in extended contracts (previous announcement was $1.16 billion) and up to 202 million new contracts to support American producers and communities through the USDA Farmers to Families Food Box Program. Total dairy purchases are estimated around $421 million.
In the CME Cash Dairy Product Trade, cheddar blocks added 3.50 cents to $2.6750/lb. on 6 trades. Barrels gained 1.50 cents to $2.4150/lb. Butter lost 1.25 cents to $1.7375/lb. Grade A nonfat milk finished half a cent higher to $1.01/lb. Dry whey remains unchanged at $0.33/lb.
Class III milk futures ended the week on a higher note. July milk added 12 cents to $22.97/cwt. August milk rocketed 54 cents higher to $20.95. September increased 45 cents to $18.81/cwt. Second half 2020 average is $18.99/cwt. Class IV futures were relatively unchanged.
The grain complex receded today. December corn tumbled 7.50 cents to $3.53/bushel. November soybeans fell 1.75 cents to $8.9725/bushel. September Chicago W=wheat decreased 6.75 cents to $4.92/bushel. August live cattle rallied $2.75 to $100.05/cwt. August feeders climbed $2.82 to $135.90/cwt. August crude oil launched a 51-cent gain to $40.33.
For all of us at Commodity Risk Management Group, have a fantastic 4th of July weekend!