Markets Still Recovering From Massive Commodity Bleed
Class III futures markets traded mixed on Tuesday after experiencing the massive selloff to begin the week on Monday. February through July futures traded 1-10 cents stronger while red showed up on the screen beyond that. Class IV markets softened again Tuesday with February down 21 and March and April softening double digits. The day prior on Monday however watched a massive commodity wide bleed.
Class III declined 67 cents for February milk, 57 for March, 48 in April, 40 in May and 32 cents in June. Second half prices were down double digits too. The livestock sector had both cattle and hogs limit down and grains softened 5-10 cents.
Both livestock and grains faired a little better on Tuesday as corn traded 6 cents higher in March, beans limited the blow to 2 cents and the wheat complex was 2-5 cents lower. The soybean and wheat markets are searching for any type of buy interest out of China but to this point have come up empty handed. Cattle markets fell a half cent Tuesday, feeders were up 20 and hogs added ¾ of a cent per pound.
The CME spot dairy auction felt pressure as just dry whey closed higher Tuesday. Whey added a penny to 37 and a half cent per lb. Barrels fell 2 cents to $1.59 while blocks had offers weaken 1 and ¼ cents per lb. Butter traded 5 loads and 4 and ½ cents softer to $1.77 and half cents. Grade A non-fat dry milk was lowered a half cent to $1.27 and a half cents per lb.