OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Steady to 1 Lower |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 1 to 2 Lower |
| Soybean Futures: | 5 to 8 Higher |
| Soybean Meal Futures: | $1 to $2 Higher |
| Wheat Futures: | 3 to 5 Lower |
MILK:
Class III milk futures showed good volume in overnight trading with most of the activity in March and April contracts. Traders will be cautious as the weakness of cash this week has been a surprise. The market will need to prove itself before traders turn bullish again. The January Agricultural Prices report was released Thursday, but we do not know the income over feed price for the Dairy Margin Coverage program. FSA has yet to release the average soybean meal price for the month. The sign-up for the program for the next year is taking place through this month and into April.
CHEESE:
The recent weakness of cheese prices has not yet increased the interest of buyers. The block/barrel spread remains inverted due to a slowing in cheddar cheese demand at the retail level. This is not unusual during this time of year. Cheese production is steady with higher component values keeping cheese yields strong.
BUTTER:
Price has shown surprising weakness over the past three days. It would seem buying interest would improve with the lower prices as buyers look ahead to Easter demand and prepare for potentially stronger demand as the year progresses. Price may stabilize Friday.
