Prices See Encouragement
The CME Spot product market started the week off in a positive note as all products traded and 4 out of the 5 products moved higher during the session.
Butter traded 2 times and continues its upward trend and rose 1 ½ cents to finish at $2.26 cents/lb. Blocks rose ¾ of a cent and finished the session at $1.39 ¾ cents/lb. Barrel prices move higher from its contract low last week at $1.16, and rose 3 cents on Monday settling at $1.21 cents/lb. Grade A Nonfat Dry Milk rose ¾ of a cent and finished at $1.02 cents/lb. Dry whey had the most volume on Monday trading 6 times and fell ½ a cent to .40 cents.
Class 3 markets were mixed on Monday trading anywhere from 3 cents lower to 7 cents higher. The January contract expires tomorrow and was unchanged on the day at 13.98 leaving the 1sthalf average at 14.55. The second half prices continue to carry a premium over the 1sthalf, and the second half average at 16.19.
Class 4 markets were also mixed, trading anywhere from 4 cents lower to 2 cents higher. January was unchanged at 15.51. Class 4 milk 1stand 2ndhalf averages are now at 16.08 and 16.76.
The Government is open for now which means the USDA will be releasing several reports over the next few weeks. The January and February WASDE reports will be combined and released on February 8th along with several other reports such as the annual crop production report, grain stocks and more.