OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Steady to 1 Lower |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 2 to 4 Lower |
| Soybean Futures: | 3 to 9 Higher |
| Soybean Meal Futures: | $3 to $5 Higher |
| Wheat Futures: | 10 to 20 Lower |
MILK:
Class III milk futures bounced in response to higher cheese prices. However, there seems to be caution by traders. Even though cheese price closed higher, price initially declined. This leaves trades wondering just how much strength there will be. Fundamentals remain much the same in the country with milk supply sufficient for demand. Culling seems to have slowed as higher milk prices may ease some of the concern over the ability to cash flow. USDA will release the February Milk Production report on Monday, which will provide information on whether milk supply will tighten as the year progresses. Trading activity may be mixed until spot trading provides direction.
CHEESE:
Both higher and lower cheese prices on the spot market Thursday will keep trading guessing as to what might take place Friday. Their bias might be to the upside due to the rebound from the lows, but strength may be limited. Prices may have a difficult time gaining lost ground due to the recent weakness.
BUTTER:
Buyers and sellers seem comfortable in the current price range. Business is being done. Buyers have been purchasing ahead which has limited market volatility for the time being. Churning is active a sufficient to meet immediate demand as well as rebuild inventory. Price should remain choppy.
