OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | 5 to 10 Lower |
| Butter Futures: | Steady to 1 Lower |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 12 to 15 Higher |
| Soybean Futures: | 14 to 18 Higher |
| Soybean Meal Futures: | $2 to $3 Higher |
| Wheat Futures: | 5 to 8 Higher |
MILK:
Class III milk futures are trying to probe for a bottom, but there has not yet been solid support uncovered. Underlying cash prices have not provided any reason for traders to get excited about buying into the market. Overall milk production remains strong keeping both bottling and manufacturing needs satisfied. Weather has been good for milk production, but hot weather over the next week will have an impact on output. Most schools will be closed for the summer after this week with more milk available for manufacturing. Friday is National Donut Day and hopefully the beverage of choice to have with that donut will be milk.
CHEESE:
Cheese prices are not expected to move much in the near term. With sufficient supply available, buyers do not need to be aggressive. Purchasing is being done for current demand as well as projected upcoming demand. Manufactures are trying to build some inventory for later demand. Overall, the market seems to be balanced.
BUTTER:
Butter production is expected to have been strong during the month of April. The Dairy Products report today should show higher production than a year ago. Demand from the food service industry during the month increased significantly as supplies needed to be replenished. Churns were active in order to meet that demand.
