OUTSIDE MARKETS SUMMARY:
| CORN: | 2 Higher |
| SOYBEANS: | 1 Lower |
| SOYBEAN MEAL: | $4.50 Higher |
| LIVE CATTLE: | $1.07 Lower |
| DOW JONES: | 39 Points Lower |
| NASDAQ: | 26 Points Lower |
| CRUDE OIL: | $0.63 Higher |
MIDDAY MARKET UPDATE:
The spot cheese market is alive and well with prices increasing in both categories. Block cheese price increased 5.25 cents, closing at $1.8125 with 11 loads traded. This is the highest price since Sept. 19. Price initially moved up to $1.8175 but did not hold that level. Barrel cheese price gained 1.75 cents, closing at $1.70 with four loads traded moving to the highest price since Sept. 18. Dry whey price gained 0.25 cent, closing at 38.75 with four loads traded. This did not have the impact on Class III futures as would have been expected. Contracts are 5 cents lower to 12 cents higher.
Trading volume is strong with the November contract showing over 1,100 contracts traded. Butter price declined 2 cents with four loads traded, keeping traders guessing as to the strength of the market. Grade A nonfat dry milk price initially moved 0.25 cent lower before buyer interest moved the price 1.50 cents higher for the day, closing at $1.2350 with four loads traded. Class IV futures are 21 cents to 35 cents higher. Butter futures are 0.50 cent lower to 7.50 cents higher. Dry whey futures are 1 cent lower to 0.77 cent higher.
USDA will release the September Milk Production report this afternoon. I estimate production to be down 0.4%. The uncertainty will be the cow numbers from the previous month. I estimate the cow number to decline 2,000 head from August, but it could go either way based on what was released last month.
