OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 1 to 2 Lower |
| Soybean Futures: | 3 to 5 Higher |
| Soybean Meal Futures: | $1 to $3 Higher |
| Wheat Futures: | 4 to 6 Lower |
MILK:
Class III futures find little direction from underlying cash as the market seems to be comfortable at the current level. Half of October is now behind us, and we have not seen more aggressive buying unfold, which is cause for concern. Buying has been taking place for recutting and packaging for the holidays, but it has not translated into higher prices. Milk production is steady to improving with slaughter having pulled back due to the optimism of better milk prices. Milk futures have been showing more strength in contracts in 2024 but prices certainly have not moved significantly higher. Greater strength has been seen in Class IV contracts.
CHEESE:
Cheese prices are just hanging out with little need for buyers to become more aggressive and sellers moving what they need to limit inventory growth. Demand has been relatively flat compared to other years at this time. Some plants indicate they are just able to fill orders and would like more milk to process while others indicate they are balanced with sufficient milk supply for demand.
BUTTER:
Buyers need butter and have not stepped back even at the higher price. Price has been weakening, but not with the decline that had been anticipated. That may yet come, but for now business is being done without sellers having to aggressively pursue it. There is no fear of a shortage but there is good demand.
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