Opening Calls:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
Outside Market Opening Calls:
| Corn Futures: | 1 to 3 Lower |
| Soybean Futures: | Mixed |
| Soybean Meal Futures: | $1 to $2 Higher |
| Wheat Futures: | Mixed |
Milk:
Dairy markets were quiet overnight. Traders are uncertain what underlying cash price will do Wednesday. According to the current offers in Class III futures, it appears the market might be a little weaker. However, once more traders look at the market and even up some of their positions prior to the extended weekend, prices will be influenced by underlying cash. Weather has been good for cow comfort in most areas, keeping milk production slowly increasing. More milk is available for manufacturing, increasing the offers in the spot market. Discounts will likely be significant as many plants are running near capacity and with declining prices, they may not be interested in purchasing discounted milk on the spot market. Wednesday is the last trading day in the dairy complex for the week. Dairy markets will be closed both Thursday and Friday.
Cheese:
It is difficult to know whether cheese has found a bottom at current levels or if the recent strength was only due to orders needing to be filled. As soon as there was more aggressive buyer interest, sellers held back for higher prices. Once those immediate orders are filled, prices may slip back again. Time of year is not conducive for an extended price trend higher.
Butter:
There is little expectation for price movement Wednesday. The heavy volume of sellers on the spot market indicates the desire remains for moving product as quickly as possible to manage a growing inventory. Some plants may be closed for the holiday period while others will run on full schedules utilizing the abundance of cream that is available.
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