March 14, 2019

Milk Markets Trend Higher

 |  By: Know Your Market

Thursday’s market had an upward trend driven by the strength in Cheddar blocks and Barrels. Barrels lead the charge up 6 ¼ cents on 5 trades to finish at $1.48 ¾ and Blocks gained 3 cents to $1.56/lb. Butter was up ½ cent to $2.28 ½ cent on only 1 trade. 

Dairy powders were down slightly. Grade A Non Fat Dry milk was off ¼ cent to $0.96 ¼ /lb and Dry Whey fell 1 cent to $0.32 ¼.

Class III milk gained in most months. April was up 14 cents to push back above that $15 mark and finish the day at $15.09. March was up 4 to finish at $14.95/cwt. 

USDA released the January Dairy Products report Thursday. Most notable was the 190 million lbs of Butter produced. This is up 4.2% from January 2018 and is 10.4% above December 2018’s large production. 

Total cheese in January hit 1.1 billion pounds. Up 4/10 of a percent above January 2018 productions and 7/10 above December’s production.

NonFat Dry Milk was up 7.7 % from last year, however Skim milk powder production fell 33.5% from January 2018.  Dry Whey production was down 10.1 % from a year ago at 81.2 million pounds. Lactose was up 10.9% from January 2018 production. 

For Commodity Risk Management Group, this is Jenny Wackershauser on Know your markets.