Butter
May 6, 2020

Mixed Day In Milk As Butter Surges Higher

 |  By: Know Your Market

After two days of giant moves higher, Wednesday was calmer. The CME spot product trade, however, saw nice gains. Butter gained 8 ½ cents to $1.28/lb with 15 loads trading, 17 bids and 4 offers. The first trades for the week. Cheddar Blocks moved 4 ¾ cents higher to $1.30 ½ with 4 loads trading, 2 bids and 1 offer. Barrels were unchanged but had impressive volume move. Holding at 1.24/lb with 14 trades, 4 bids, and no offers. The block/barrel spread sits at 6 ½ cents.

Grade A Non Fat Dry milk gained 1 ¾ cents to $0.82 ¼ with 4 loads moving, 6 bids and 2 offers. Dry whey held unchanged at $0.40/lb with no trades, 2 bids and 1 offer.

Class III milk fell 4 in May to 11.50, June was a penny lower at 13.62 and July fell 6 to 14.72. Class IV milk gained 2 in May to 10.17, June fell 14 to 11.01 and July fell 4 to 11.55, though Aug – December saw gains as high as 29 cents.

Grain and Feed continue to struggle to move higher. Corn fell 1 ¼ to 3.11 ¾, soybeans fell 7 ¾ to 8.30 ½, and Soybean meal fell $1.70 to 283.10/ton.