OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 11 to 14 Higher |
| Soybean Futures: | 6 to 10 Higher |
| Soybean Meal Futures: | $4 to $5 Higher |
| Wheat Futures: | 4 to 6 Higher |
MILK:
Traders were content with their positions, showing little interest in overnight trade. Bids and offers were placed and the computer turned off for the night. There is little anticipation of any significant price movement Monday in underlying cash. This is also little anticipation of much upside potential if buyers were to become a bit more aggressive Monday. If there are some traders that show interest in the correlation between corn and milk, there could be some aggressive buying of milk futures. However, much of the trading is short term as traders scalp the market, hoping to take profits on daily price movements. The weather has been better for cow comfort, but many areas continue to remain dry, causing concern over the development of crops.
CHEESE:
Cheese demand just cannot overcome the current supply with buyers remaining unaggressive except for brief times when prices are low, and they need to fill orders. Once those orders are filled, they step back and purchase on the way down again. Buyers continue to purchase as they need it with little interest yet in building inventory for later demand. Seasonally, prices should increase into September or October, but that is in question this year.
BUTTER:
Price seems like it was to remain at the low end of the trading range rather than spend much time at the upper end. Churning remains active even though cream supplies are tightening. Inventory is higher than a year ago and building.
