OPENING CALLS:
| Class III Milk Futures: | Steady to 5 Higher |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Steady to 1 Higher |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 2 to 5 Lower |
| Soybean Futures: | Mixed |
| Soybean Meal Futures: | Mixed |
| Wheat Futures: | 10 to 13 Lower |
MILK:
Class III milk futures may have been overdone to the downside on Monday but then were overdone to the upside Tuesday as traders try to guess market direction. Milk receipts are increasing as spring flush moves forward. Milk volumes are being easily handled with the industry not expecting any difficulty through the spring flush period. Most plants would like to have more milk and welcome increasing milk receipts. Milk futures seem to be in a sideways pattern and may remain that way for the near term as the level of supply and demand is assessed. Class IV futures continue to remain significantly higher than Class III futures.
CHEESE:
The lack of volume during spot trading Tuesday was a bit of a surprise. The only trading activity took place in dry whey with price remaining steady. Demand for cheese is steady overall with some indication of slightly lower demand. That may be due to cheese variety or location or possibly both. That is not having an impact on the market as it is variable. Cheddar cheese price was higher on the Global Dairy Trade auction Tuesday, which should result in continued strong exports.
BUTTER:
Price continues to move along in a sideways pattern. Buyers and sellers are comfortable with the current price range. Business is being done without difficulty. Cream supply remains sufficient keeping churning active. Futures indicate price may remain in a tight range the rest of the year.
