Egos and Economics Threatened in Trade Disputes
It was an interesting week of trade where both egos and economics were threatened. Talks of trade terrorists issued by the U.S. and then by the Chinese rattled the cages of many commodity markets. While most of them struggle to maintain themselves and keep prices in check with last week's values, milk markets continue to move higher. Increases in butter and cheese specifically gave rise to Class III and Class IV milk prices and maintained the optimism that entered the week.
Looking more closely at Fridays trade block cheddar rose 4 1/2 cents to finish at $1.60 1/4 after three trades took place. Barrels followed suit rising 1/4 cent to $1.45. Grade A nonfat dry milk rose 3/4 cents to finish at 72 3/4. Dry whey had its biggest day ever rising 3 1/2 cents to 32 cents a pound. Butter was also unchanged, finishing at $2.28 3/4.
For the week the average price of butter was $2.27 1/2, block cheese $1.5590, barrels $1.44 3/4 a pound, grade A nonfat 70 3/4 cents and dry whey 29 cents a pound for its average.
Class III milk rose in response to these positive traits by moving to $15.52 in its average from now through December. That's up a nickel from Thursday. Class IV markets remained unchanged with their average through the balance of the year at $14.60.