Product Prices Continue Strong Upswing
By comparing this week’s average product price to last week’s prices, butter and nonfat dry milk (NFDM) stand out. Finishing with an average of $2.37 ½ butter grew 20 cents from last week while Grade A NFDM was up 3 ½ cents. Blocks moved 4 ½ cents higher while barrels moved just a penny higher.
Grade A NFDM highlighted trading on Friday after butter settled down. NFDM gained 2 cents to close above 90 cents at 91 ½ cents and represents a value that is 7 ½ cents above this date last year. Butter dropped 2 ½ cents to $2.37 ½ per pound.
Block cheese gained 1 ¾ cents, settling at $1.67. Barrels were unchanged at $1.47. Blocks now hold a 20 cent premium on the barrel price.
Class III futures were higher on Friday with the exception of May, down a penny, and April 2018 down 2 cents. June through December were up 11 to 13 cents while the fourth quarter was up 6 to 8 cents. Futures covering the first quarter of 2018 finished 5 to 7 cents higher and May 2018 was also up 7 cents.
Class IV markets also gained nicely, with July to November up 9 to 15 cents, with December the only month trading lower losing 10 cents.