MILK
Milk futures took a hit with numerous months posting double-digit losses. Weakness had been prevalent prior to spot trading and never let up after even though cheese and butter prices increased. An overall negative attitude prevailed throughout the day. There could have been some pressure stemming from continued weakness in exports and what that could mean for price potential. June exports on a milk solids equivalent basis declined 13% compared to last year with the total value of exports down 28%. Year-to-date exports of milk solids are down 5% with total export value down 10% for the first six months. This is not a positive sign for the industry, but this is expected to turn as the year progresses.
AVERAGE CLASS III PRICES
| 3 Month: | $17.57 |
| 6 Month: | $17.87 |
| 9 Month: | $17.98 |
| 12 Month: | $18.05 |
CHEESE
June exports of cheese declined 8,368 metric tons or 19% from the previous year, totaling 35,737 metric tons with year-to-date exports 6.8% below the same period last year. Whey exports in June totaled 36,966 metric tons, down 19,869 metric tons or 39.4%. Year-to-date exports are 17.0% below the same period a year ago. Whey protein concentrate 80-plus has been the bright spot with export up 1,105 metric tons from a year ago at 6,953 metric tons. This was an increase of 18.9%. Year-to-date exports are up 15.0%.
BUTTER
Butterfat exports took a beating with volume down 4,816 metric tons or 64.9% from June 2022, totaling 2,600 metric tons. Year-to-date exports are down 43.6%. Whole milk powder export totaled 1,831 metric tons, down 1,904 metric tons from a year ago, a decrease of 51.0%. Year-to-date exports are down 42.1% compared to the same period last year. Nonfat dry milk/skim milk powder exports increased by 1,392 metric tons, up 2.1% from June 2022 totaling 69,053 metric tons. Year-to-date exports are down 1.1% compared to the first six months of last year.
OUTSIDE MARKETS SUMMARY
December corn closed up 2 cents per bushel at $4.9625, November soybeans closed up 9.75 cents at $13.1825 and December soybean meal closed up $2.90 per ton at $393.70. September Chicago wheat closed up 2.75 cents at $6.3775. October live cattle closed up $0.83 at $182.53. September crude oil is down $1.55 per barrel at $82.85. The Dow Jones Industrial Average is up 53 points at 35,176, with the NASDAQ up 16 points at 13,738.
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