MILK
Class III milk futures closed moderately higher. May and June were unable to hold onto prices moving briefly above $25 during the day. However, gains were held due to steady underlying cash prices. Class IV futures had the least trading activity I have seen in quite some time with only July showing activity and a volume of only three contracts. July closed 25 cents lower, while the rest of the complex closed steady with the previous day. Class IV is the one that should have seen some higher trade based on cash, but such was not the case. Milk production continues to slowly increase as we move through spring flush. The large winter storm that is moving through the Great Plains and into the Dakotas will have an impact on milk movement in those areas. Power outages are expected, and travel will be hazardous during the storm. It is not likely to have a significant or long-term impact but will create some hardships for the next few days. Corn planting was at a standstill last week with progress remaining at 2%. This was the same as last week and compared to 4% a year ago. The value of dairy exports in February reached $692.1 million, up 22.4% from a year ago. The volume of dairy exports declined 1.4%, totaling 175,602 metric tons. Exports of fluid milk/cream increased 14.6% totaling 12,988 metric tons.
AVERAGE CLASS III PRICES
| 3 Month: | $24.65 |
| 6 Month: | $24.58 |
| 9 Month: | $24.24 |
| 12 Month: | $23.67 |
CHEESE
Cheese prices holding during spot trading Monday will keep traders guessing as to price direction Tuesday. Buyer interest has been steady and is not likely to dry up anytime soon. Exports did well in February with volume reaching 32,953 metric tons, up 9.2% from February 2021. Dry whey exports decreased 4.5%, totaling 48,935 metric tons. Whey protein concentrate declined 5.3%, totaling 5,284 metric tons.
BUTTER
Butterfat exports were very strong in February, gaining 74.7% over February 2021 with a total of 6,755 metric tons. This compares to 1,735 metric tons in February 2020. Skim milk/nonfat dry milk powder exports totaled 63,384 metric tons, down 11.5% from a year ago. Whole milk powder exports declined 10.2%, totaling 3,272 metric tons Lactose exports increased 14.8% totaling 28,776 metric tons.
OUTSIDE MARKETS SUMMARY
May corn declined 4.25 cents, ending at $7.6450. May soybeans fell 33.75 cents, ending at $16.5525, with May soybean meal down $9.10 per ton, closing at $459.10. May wheat jumped 29.75 cents, closing at $10.8125. April live cattle gained $0.70, ending at $138.52. May crude oil fell $3.97 per barrel, closing at $94.29. The Dow fell 413 points, closing at 34,308, while the NASDAQ declined 299 points, closing at 13,412.
