Opening Calls:
| Class III Milk Futures: | Steady to 5 Higher |
| Class IV Milk Futures: | 4 to 8 Higher |
| Butter Futures: | 1 to 2 Higher |
Outside Market Opening Calls:
| Corn Futures: | Mixed |
| Soybean Futures: | 1 to 3 Lower |
| Soybean Meal Futures: | $1 to $2 Higher |
| Wheat Futures: | 2 to 5 Lower |
Milk:
Milk futures have made a nice bump higher over the past few days. There is concern whether those gains will hold. Strong milk production with many plants running at or near capacity keeps milk and dairy products readily available. High cow numbers will keep milk production strong. The limiting factor might be the production limitations imposed on farms for a period of time as we move through spring flush. Even with those limitations, there will be sufficient milk available for bottling and manufacturing. Milk production is not slowing down as the outlook for milk prices is positive based on current futures prices. Weather continues to be good for milk production in most areas with an early spring possible, allowing fieldwork to begin early. The Prospective Plantings report will be released on Wednesday, providing estimates for planted acreage this year. Corn and soybean acres are projected to be significantly higher.
Cheese:
Buyers have been more aggressive in the spot cheese market over the past few days. Increased activity in blocks Monday could indicate price has moved to an attractive level for moving cheese. Sellers could turn a bit more aggressive as they take advantage of the higher prices. Holiday orders have been shipped with the market turning to usual demand. Cheese prices have yet to break out of a sideways trading pattern.
Butter:
There is strong support under the market due to good domestic and international demand. Price has been competitive on the world market for quite some time, which has built a nice demand base. Warmer weather will allow for more outside dining, which will increase demand from restaurants. Price may be at a level at which it may pause for a period as buyers and sellers assess supply and demand.
