March 23, 2018

Markets React to China Tarriffs

 |  By: Know Your Market

News of Chinese retaliation to U.S. tariffs sent a ripple through agricultural markets on Friday's trade. Cattle prices dropped two cents a pound in nearby contracts. Corn markets were down 7 cents early in the session. Likewise, soybeans were down 20 and soybean meal was down $10 a ton. The grain markets, however, were able to rebound before the session closed with corn finishing up 1 1/2 cents, soybeans near or changed and soybean meal up 8 to $9 out through summer.

That was a luxury not afforded to the milk market, however, where the price of Class III milk from now through December finished seven cents lower at $15.15. That comes on the heels of a softer cheese trade as well where blocks dropped 2 cents to finish at $1.54 1/2 and barrels down a quarter cent to $1.51. Between the two of them they traded only two loads. Grade A nonfat dry milk was unchanged in Friday's session at 69 1/4 cents. Whey followed suit finishing at 28 3/4. Butter was the lone product in the spot trade to move higher. It rose a 1/4 cent and finished at $2.19 with 12 loads trading hands.

A quick look at this week's product price averages shows butter at $2.18 2/3, block cheese at $1.56, barrels at $1.52 1/4, grade A nonfat dry milk at 69 cents and dried whey at just over 29 cents. 

This block is broken or missing. You may be missing content or you might need to enable the original module.