OPENING CALLS:
| Class III Milk Futures: | 2 to 8 Higher |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Steady to 1 Lower |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 1 to 2 Higher |
| Soybean Futures: | 5 to 7 Lower |
| Soybean Meal Futures: | $1 to $2 Lower |
| Wheat Futures: | 5 to 7 Higher |
MILK:
It will be interesting to see whether Class III milk futures bounce back Monday after the decline Friday. Overnight trade showed some interesting activity with the June and September contracts showing prices 34 and 18 cents higher, respectively. Those must have been market orders as the bid and offers are wide with bids nearly 30 cents lower. All the contracts through the end of the year posted wide bids and offers. This indicates the uncertainty of traders over underlying cash to begin the week. Trading activity ahead of spot trading will be light. The milk production report will be released Wednesday with traders focusing on cow numbers.
CHEESE:
Cheese prices need to regain a lot of ground to move back to the levels they were at two weeks ago. So even some gains in prices may not provide much strength for futures. The market needs to prove itself before traders might get excited again. Cheese production is holding well providing sufficient supply for demand.
BUTTER:
The recent trend is sideways while the overall trend is higher. Many of the orders for the Easter season have been filled with some yet to be shipped this week. Then it will be up to the level of demand to indicate the strength of the price after the holiday season. For now, the market might remain choppy.
