OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | 5 to 10 Higher |
| Butter Futures: | Steady to 1 Higher |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 1 to 2 Higher |
| Soybean Futures: | 2 to 4 Higher |
| Soybean Meal Futures: | Steady to $1 Higher |
| Wheat Futures: | 3 to 5 Higher |
MILK:
Class III futures showed minor gains Friday as the spot market needs to catch up to futures. Class IV futures continue to increase due to the strength of nonfat dry milk. This improves the price outlook for the time being. Milk production is increasing as cow comfort improves. Seasonal demand is utilizing production. Milk is being readily absorbed by bottlers and manufacturers. Spot milk is not quite as plentiful as it had been a few weeks ago. Higher feed prices are having an impact on milk output as heavier culling continues to take place. Culling may slow as milk prices increase.
CHEESE:
Blocks and barrels are holding near each other, which may be providing some support to the market. Demand is good with buyers on the spot market maintaining their aggressiveness. Blocks have yet to establish a solid trend higher while barrels have been trending higher for a little over a month. Dry whey continues to add solid support to the market.
BUTTER:
Price continues to struggle to find solid footing. Increasing retail demand and decreasing inventory has not been enough to increase the interest of buyers. Movement on the spot market is good with 31 loads traded last week. Sellers continue to bring loads to the market rather than hold for a potential price increase. Nonfat dry milk movement is good with buyers remaining aggressive, purchasing what is being offered and still looking for more.
