Milk Prices Trade Higher On China News
It was a classic game of Deal or No Deal as we came through the G20 summit that was being held in Buenos Aires over the weekend. And by Sunday evening, we still did not know whether there was one or not. That did not stop the markets from moving higher on Monday. As headlines and hype over ran the market. Milk prices surged 20 cents overnight trade and came into the morning with that strength.
However, that strength was mitigated by a lower barrel trade in the CME spot trade. The price fell three and a half cents after a single load traded hands. The final price was $1.28 per pound. Blocks remained unchanged however, on no volume and finish once more at $1.36 per pound.
Dry whey fell as well, moving a half cent lower to 43 cents after a handful of trades and Grade A nonfat dry milk took the opposite direction, rising a penny to 91.5 cents after just two loads were tendered. Butter was unchanged. It also did not bring any volume to the session and finishes once more at $2.2425.
By the end of the session, Class III milk was up 14 cents in the average for the first half of 2019, it finds itself now at $15.27 per cwt. The second half of the year, very close to where it has been in recent weeks, up just three cents at $16.34 per cwt.
Class IV markets saw similar activity with the first half of the year rising 17 cents in its average to $15.57 per cwt with the second half at $16.40 up 8 cents over Friday's finish.