OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 8 to 10 Lower |
| Soybean Futures: | 10 to 14 Lower |
| Soybean Meal Futures: | $1 to $2 Lower |
| Wheat Futures: | 15 to 18 Lower |
MILK:
December Class III futures have been slowly increasing over the past week while later contracts have been sideways to slightly lower. With milk production slowly increasing, there is sufficient supply for both bottling and manufacturing. There is no shortage in the market of milk supply or products. There is good demand as the holidays approach. Thanksgiving demand has been met with a large portion of product for the holiday season already in place. Orders will continue to be placed as needed requiring buyers to be aggressive in the market to fill those orders. Cow numbers are holding with production per cow continuing to run above a year ago.
CHEESE:
Traders are uncertain over spot price direction. A buyer remains aggressive for a load of blocks being unable to find a willing seller. There is good demand for fresh cheese to fill orders. Buyers of cheese are not buying to build inventory at the present time but buying to fill orders. Some plants indicate a little slowing of demand, allowing for a few loads of cheese to be available.
BUTTER:
Price continues to work higher but the exuberance of last week has decreased. The retracement of price has been impressive, leaving traders uncertain as to why the sharp decline took place. Nevertheless, demand is holding well. Butter production is increasing, which should provide sufficient supply for demand and possibly begin to build inventory once the holiday season is over.
