Shaky Milk Markets Watch as Grains Continue Run Higher
Class III milk had a hard time maintaining gains during Monday’s trade. June Fell 3 cents to $16.28 and July fell 4 cents to $17.17/cwt. Oct – Dec however saw 3-5 cent gains to give a second half average at $17.20/cwt. 2020 saw a mixed trade with February 2 cents lowers and January and March gaining 2-3 cents. First quarter of 20 is averaging $16.44/cwt
Class IV milk was weaker. June was unchanged at $16.80, July lost 2 cents to $17.17 and August lost 10 cents to $17.32.
The CME spot product trade saw only butter moving higher. Gaining 1 ¼ cents to finish at $2.37 ¾ /lb. with 3 loads trading. Cheddar Blocks moved back some more off their high point last week. Falling 3 ¼ cent $1.75/lb. with 7 loads trading on Monday. Cheddar Barrels were unchanged at $1.60 ½. The block barrel spread narrowing to 14 ½ cents.
Dry Why also fell ¾ of a cent to $0.35 ½ /lb. and Grade A Nonfat dry milk was unchanged at $1.05 ¼ /lb.
The rally in the grain/feed markets continue. July corn gained 1 ¾ to $4.54 ¾, July Soybeans lead the rally gaining 16 cents to $9.12 ¾ per bu. July soybean meal gained 80 cents to $324.30/ton. Corn planting progress reported by USDA Monday afternoon shows the U.S. farmer is 92% planted on corn versus a 100% 5-year-average and 77% planted on soybeans versus the 93% 5-year-average.
For Commodity Risk Management Group, this is Jenny Wackershauser on know your markets.