OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 2 to 4 Higher |
| Soybean Futures: | 10 to 12 Higher |
| Soybean Meal Futures: | $5 to $6 Higher |
| Wheat Futures: | 3 to 5 Higher |
MILK:
Milk futures remained steady overnight with very limited activity. Spot trading activity is all there is to influence trading, and that has been limited. Fundamentals have not changed much over the past few weeks with milk production continuing to slow seasonally. The only noticeable change has been in spot milk prices as the discounts that have been prevalent since late last year have all but evaporated with some spot milk now priced above class. Not much movement is expected Thursday unless there is movement of cheese prices.
CHEESE:
Supply and demand seem to be balanced at the current time. Buyers had been aggressive a few weeks ago, trying to get ahead of price increases. They have now settled down, being comfortable with inventory and the level of demand. If milk supply continues to tighten, there could be another surge in buying as they look ahead to later demand.
BUTTER:
Price has established another sideways trading range in which it may remain for a time. Churning is slowing due to a tighter cream supply. Inventory is decreasing seasonally but remains above a year ago. Export demand is slower, keeping more butter available domestically.
