OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | Mixed |
| Soybean Futures: | 2 to 4 Higher |
| Soybean Meal Futures: | $2 to $3 Higher |
| Wheat Futures: | 1 to 3 Higher |
MILK:
Traders resumed their bearish attitude Thursday with gains in underlying cash prices unable to trigger buying interest in milk futures. There are reports of milk supply tightening in areas as more milk has been moving to bottling for school systems. However, the tightening is seasonal with spot milk prices commanding a premium to class. Milk production seems to be stabilizing as weather has cooled in many areas resulting in greater cow comfort. USDA will release the World Agricultural Supply and Demand report Friday will set direction for grain prices. It will also contain supply and demand numbers for dairy. Estimated milk prices and product prices will also be on the report.
CHEESE:
The close of spot trading Thursday would suggest higher cheese prices again Friday. However, traders seem to believe the upside remains limited. Block cheese price is again nearing the top of the trading range that has been evident much of the year. Supply is readily available for demand in most cases. There have been some reports of tightening varieties of cheese with some orders being turned away.
BUTTER:
Churning has been active, but cream supplies are tightening and prices increasing. This is limiting the desire for some plants to purchase extra cream keeping them operating on current supplies. Strong exports and improving demand should keep price trending slowly higher.
