OPENING CALLS:
| Class III Milk Futures: | 5 to 9 Higher |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | Mixed |
| Soybean Futures: | 2 to 4 Higher |
| Soybean Meal Futures: | $4 to $5 Higher |
| Wheat Futures: | 2 to 4 Lower |
MILK:
Class III futures have retraced the gains from last week, moving futures near the bottom end of the market. Any further weakness of underlying cash could send it to new lows. Class IV futures have been under pressure this week. Even buyer interest in underlying cash has not been able to provide sustained support to futures as that buying interest has been short-lived. Weather has had no significant or sustained impact on milk production. Milk is sufficient for bottling and manufacturing, keeping demand satisfied. This leaves no concern over supplies for the foreseeable future, keeping prices choppy. Futures could rebound a bit Friday as traders may want to cover some short positions into the three-day weekend. Dairy markets will be closed on Monday in observance of Presidents Day.
CHEESE:
Cheese is in somewhat of a holding pattern. Buyers and sellers are taking care of business without much fanfare. Barrels have seen quite a bit of trading activity this week with limited price movement. This pattern is expected to continue for a time.
BUTTER:
Price held Thursday with no buyers or sellers showing up during spot trading. Price might weaken Friday as current supply is sufficient for demand. Churning is active and inventory is growing. Sellers may want to move more product.
