Powder Takes a Turn
Up jumped the boogey man - Halloween came early.
Nonfat dry milk, which has suffered extreme losses in recent days from the announcement out of the EU, found a way to turn the corner. Two loads traded hands and prices finished 2 1/4 cents higher at 76 3/4.
The rise in nonfat dry milk did not translate to higher prices in the whey futures contract. Fourth quarter values dropped 2 1/4 cents on average. However, first quarter values did muster up a gain of approximately 1 1/4 cents. The first half of 2018 still carries an average value of 30 cents per pound.
Elsewhere in the spot market butter dropped to $2.39 1/2, down 1/2 cent. Barrels did the same, dropping to $1.68 and blocks remained unchanged to close at $1.72.
The impact on Class III prices was nominal. Prices dropped 13 cents in October, however each month thereafter traded on either side of unchanged. In the end the fourth quarter averaged $16.31, down 4 cents with the first half of next year rising 3 cents to $15.59. Class IV markets saw sporadic activity with prices remaining unchanged at a $15.03 average for the first six months of 2018.