MILK
April U.S. dairy exports showed their worst year-over-year decline in four years. All categories except Whey Protein Concentrate 80+ were lower than April 2022. Total export value was down 17%, a decline of $148 million. Total milk solids exports declined 13%. Global dairy demand has weakened. China demand has been lackluster and has had an impact on the global market. Fluid milk and cream exports in April declined 11%. Evaporated and condensed milk exports totaled 870 metric tons, down 41% from a year ago. Infant formula exports declined 33% totaling 2,300 metric tons. This contributes to the weakness of the dairy complex. There are also more reports of milk being dumped due to more being available than what can be processed in the U.S.
AVERAGE CLASS III PRICES
| 3 Month: | $15.83 |
| 6 Month: | $16.94 |
| 9 Month: | $17.28 |
| 12 Month: | $17.45 |
CHEESE
Spot cheese prices weakened further today as sellers continue to offer cheese to the spot market allowing buyers to hold back placing lower bids. With plentiful milk supplies and strong cheese output, buyers have no reason to be concerned over current supply or future supply. Impact is being felt from lower exports. Cheese exports in April declined 11.7% from April 2022 totaling 36,529 metric tons and are currently 0.4% lower for the first five months of this year compared to the same period last year. Dry whey exports declined 15.0% in April totaling 47,184 metric tons and down 5.5% year-to-date.
BUTTER
Butterfat exports fell 64.5% in April totaling 2,400 metric tons with year-to-date exports down 41.9%. Whole milk powder exports declined 11.5% to 3,620 metric tons with year-to-date exports down 36.7%. Nonfat dry milk/skim milk powder exports declined 9.2% totaling 66,763 metric tons and are down 0.2% year-over-year.
OUTSIDE MARKETS SUMMARY
July corn closed down 4.75 cents per bushel at $6.1250, July soybeans closed up 26.50 cents at $13.9925 and July soybean meal closed up $.10 per ton at $397.50. July Chicago wheat closed up 2.50 cents at $6.3625. August live cattle closed up $0.73 at $173.93. July crude oil is up $2.30 per barrel at $69.42. The Dow Jones Industrial Average is up 146 points at 34,212 with the NASDAQ up/down 111 points at 13,573.
