U.S. Cheese Inventory Continues to Climb
The USDA released their February cold storage report on Friday. This report puts the market back on the correct time line for released data. Total natural cheese in the U.S. warehouses was reported at 1.37 million, up slightly from January and 4% greater year-over-year.
Butter inventories totaled 242 million pounds up 15% from January but 9% lower than last February. Total beef in cold storage for February was 479 million pounds. That figure was 4% higher than February 2018 and 6% lower than January. CME spot product markets watched butter fall 1 and a half cents to $2.26 and a half following one trade.
Blocks moved one load Friday and had one offer left hanging as it dropped 1 and a quarter cent in price to $1.57. Barrels traded seven times and settled at %.156 and a half. The block to barrel spread now stands at just a half cent premium to the block market.
Grade A nonfat dry milk was unchanged at 95 and three-quarter cents following five trade, five uncovered bids and seven offers. Dry whey gained three-quarter of a cent to 33 cents per lb.
Class III milk markets closed Friday mainly lower. March to May ended even to 8 cents lower while June through December fell 3-16 cents per cwt. Class IV milk had April 3 cents higher, May down 3 and June 2 cents lower.