Milk Prices Steady While Product Prices Fall
CME spot product markets were mainly lower as cheese continued sell off from last week. Cheddar blocks fell four cents with four trades taking place. In the end blocks settled at $1.60 per pound. Cheddar barrels declined 2 cents to $1.58 per pound following nine loads changing hands. Butter markets lost ¼ cent to finish at $2.38 per pound, while Grade A nonfat dry milk closed unchanged at 84.75 cents. Dry whey was the lone product to trade higher as it gained a penny and settled at 34 cents.
Class III milk futures began Wednesday on a higher note then fell 15 to 20 cents post cheese session but battled back to nearly unchanged for the day. June weakened 10 cents, while July and August were down 4 and 3 cents respectively. September through November were unchanged, while December traded three cents higher. Class III 2019 prices all settled 6 to 17 cents higher. Its premium is beginning to build over the last few days and at the close the 2019 Class III average was at $16.42 per CWT. Class IV milk had limited trade with July through October up 2 to 17 cents.