Markets Spread Valentine’s Love
To U.S. dairy producer there’s no better way to celebrate Valentine’s Day and say “I Love You” than with a good ol’ fashioned market rally.
Action at the CME spot trade was led by butter which rose 7 ¼ cents, it’s largest upward move since July 27, 2017. After 17 loads traded hands the price finished at $2.13 ½. Barrels were second on the list of market movers, rising 2 ¾ after 8 loads traded hands, closing the gap between blocks and barrels to 12 cents. Barrels finished at $1.39, and left blocks at $1.51, unchanged after eight loads traded hands as well. Grade A nonfat dry milk was also unchanged, finishing at 73 cents.
As was the case with Tuesday’s trade, Class III markets rose early and, following the product trade, continued higher. The March contract reached the $14 threshold for the first time since mid-December. That leaves the February contract as the only month to not be above $14. The average from now through June rests at $14.14, with the whole year average at $14.95.
Class IV saw some volume today, specifically in the March through May contracts where prices rose 10 to 20 cents after the higher butter trade. The average price from now through June is $13.57, up 8 cents.