Milk Markets Rally Higher Despite Mixed Spot Trade
Despite a mixed day of trade in Monday’s product market, Class III futures markets were able to put together another round of higher trade, highlighted by the January and February months which were up 19 and 12 cents respectively. March through December 2020 ranged from 2 softer to 8 higher. The first half 2020 average closed at $17.90 per cwt. While the 2nd half of the year is offering $17.55 per cwt.
Class IV milk in contrast lost 10 cents in. December while January fell 11 cents, and February through June dropped 2-6 cents per cwt. The first half of 2020 for Class IV is offering $17.76 per cwt.
Plenty of movement in the CME spot dairy session was witnessed on Monday. Butter dropped 2 ¾ cents following 3 trades and 4 offers to $1.97 per lb. Cheddar blocks fell 3 cents to $1.93 ¼ per lb. with 4 loads moving from seller to buyer. Barrels also traded 4 loads but added a penny to $2.25 ¾ per lb. Grade A nonfat dry milk moved a single load Monday and settled out at $1.26 ¼, up 2/5 cents on the day. Dry whey added a quarter cent to 35.5 cents with 2 uncovered bids left hanging in the market.