OPENING CALLS:
| Class III Milk Futures: | 10 to 15 Higher | |
| Class IV Milk Futures: | 5 to 15 Higher | |
| Butter Futures: | 1 to 2 Higher |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 2 to 4 Higher | |
| Soybean Futures: | 8 to 12 Higher | |
| Soybean Meal Futures: | $6 to $9 Higher | |
| Wheat Futures: | 5 to 8 Higher |
MILK:
The strength of milk futures over the past two days carried through the night market. Some traders held onto short positions through Wednesday in anticipation underlying cash prices may slip back or that steady prices will be viewed as negative as they have been recently. That was not the case Wednesday, which resulted in some traders bailing out of short positions overnight. That may continue Thursday as support seems to be developing. Caution will still be exercised by traders as it is too early to tell whether prices have a bottom or if the buying that pushed underlying prices higher was only to fill orders. The Consumer Price Index for July increased less than expected, which may have provided some support as inflation may be easing a bit.
CHEESE:
Spot cheese prices Wednesday provided no direction for the market other than the fact that prices did not decline. This does not necessarily mean the market has found support, but the bullish reaction to steady prices might indicate that is the case. Demand is reported steady at a slightly lower level than a year ago. Exports are strong.
BUTTER:
There is a balance between supply and demand. This may leave the market range-bound for an extended period. Retail demand is slower, but export demand is higher.
