OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | 5 to 10 Lower |
| Butter Futures: | 1 to 2 Lower |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 1 to 2 Higher |
| Soybean Futures: | 1 to 2 Higher |
| Soybean Meal Futures: | $1 to $2 Higher |
| Wheat Futures: | 2 to 3 Higher |
MILK:
Choppy markets are expected to continue. Underlying cash has no clear price direction. There is no real surge in demand expected anytime soon. It will be up to regular demand and the volume of milk available to the market. Export demand in October showed the ninth consecutive year-over-year decline for milk solids with a decline of 7%. Some products showed a strong increase from the previous year while others showed declines. This dims the price outlook for milk in the upcoming months. Underlying cash prices are expected to remain subdued.
CHEESE:
There is little reason for buyers to be aggressive at this time of year. Some buying is being done to replenish aging programs with buyers able to purchase it without having to bid up for it. This has not been done aggressively as they do not want to build excessive inventory.
BUTTER:
The strong decline of price Monday and no buyers showing up during spot trading suggests further weakness today. Buyers may hold back waiting to see how aggressive sellers will be. Price could retest the level it was about a month ago, which will be a decline of another 8.50 cents.
