Sellers Cool Off Product Price Gains
As warmer weather defined the first week of October, so also buyers in the CME spot trade were warming to higher prices. That came to and end on Monday as sellers moved into the marketplace, selling 14 loads of barrels and dropping prices 3 1/2 cents to close the market at $1.71. That widens the spread from blocks to barrels to a nickel as blocks finish at $1.76, unchanged on Monday.
Butter followed suit, dropping 2 cents to finish at $2.32 per pound. Grade A nonfat dry milk followed as well, moving 1/4 cent lower to 82 1/4 cents.
Class III markets lost support amid all of this product selling with the average price in the 4th quarter of 2017 dropped 23 cents to close at $16.34 per cwt. The first half of 2018 dropped a nickel in its average to finish at $15.76. Class IV markets saw little activity with prices hovering near $15.38 in the first half average of 2018.