MILK
USDA announced the Federal Order prices for March. The Class II price was $19.52. down $1.31 per cwt from February, but down $5.24 from March 2022. The Class III price was $18.10, up $0.32 per cwt from the previous month, but down $4.35 from a year ago. The Class IV price was $18.38, down $0.48 per cwt from February, but down $6.44 from March 2022. The Global Dairy Trade auction yesterday showed the trade weighted average down 4.7%. This was the fourth consecutive event showing a decline. Anhydrous milk fat declined 7.2% to $4,736 per metric ton or $2.15 per pound. Butter declined 3.3% to $4,595 per metric ton or $2.08 per pound. Buttermilk powder declined 3.3% to $2,529 per metric ton or $1.15 per pound. Cheddar cheese gained 3.8% to $4,167 per metric ton or $1.89 per pound. Skim milk powder declined 2.5% to $2,579 per metric ton or $1.17 per pound. Whole milk powder declined 5.2% to $3,053 per metric ton or 41.38 per pound. Lactose was not offered at this event for the second consecutive time.
AVERAGE CLASS III PRICES
| 3 Month: | $18.34 |
| 6 Month: | $18.76 |
| 9 Month: | $18.99 |
| 12 Month: | $18.94 |
CHEESE
The weakness of cheese prices continues. Spot loads of milk are still being purchased by manufacturers for as much as $11.00 below class. The majority of spot milk runs about $4.00 to $5.00 under class. Substantially lower spot prices have been prevalent since the end of the year. Demand continues to hold well and is being met with continued strong production. Cheese prices on the spot market have not yet found solid support making one wonder just where buyers might make a stand.
BUTTER
It is interesting to see how things swing from one week to the next. Cream availability in the Central region has increased this week even though ice cream manufacturers are gearing up production. Butter manufacturers are actually turning away offers of cream and are keeping plants running on full schedules to handle the available cream. Further downward pressure is anticipated on butter price.
OUTSIDE MARKETS SUMMARY
May corn declined a penny closing at %6.5275. May soybeans declined 6.50 cents ending at $15.11 with May soybean meal down $6.80 per ton closing at $450.60. May wheat declined 9.50 cents closing at $6.82. April live cattle gained $0.80 closing at $168.40. May crude oil slipped $0.10 per barrel closing at $80.61. The Dow gained 80 points ending at 33,483 while the Nasdaq fell 129 points ending at 11,997.
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