OPENING CALLS:
| Class III Milk Futures: | 10 to 15 Lower |
| Class IV Milk Futures: | 4 to 8 Lower |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 3 to 4 Higher |
| Soybean Futures: | 7 to 8 Higher |
| Soybean Meal Futures: | $2 to $3 Higher |
| Wheat Futures: | 6 to 8 Higher |
MILK:
The weakness of Class III futures into the close on Wednesday set the expectation for weakness in overnight trade. Traders may be anticipating some weakness in cash but most likely the market is correcting from being overdone to the upside earlier this week. Spot prices do not indicate price weakness, but anything could happen as buyers and sellers take care of business. Traders will quickly move in either direction based on the movement of underlying cash. The World Supply and Demand report will be released today. The report will show the expectations for grain prices and stocks in the U.S. and the world. It will also show their estimates for milk production, milk prices and dairy product prices for this year and next year.
CHEESE:
Cheese buyers have turned more aggressive and are not holding back from purchasing supply. Buyers who have waited for price weakness to increase ownership have had to pay higher prices as that weakness has not taken place recently. The market may remain supported.
BUTTER:
The butter price continues to hang out with business being done and the price remaining choppy. The trend is up but has been moving slowly. Nonfat dry milk has been the leader with incredible gains over the past few weeks. This has been adding support to Class IV prices.
