MILK:
Class III futures showed significant gains shortly after spot cheese traded higher. The gains were unable to hold with contracts slipping back substantially. It is a strong possibility that cheese prices will show weakness on Wednesday, or if not, they may exhibit weakness on Thursday. Price strength has not been able to extend more than three days over the past few months. Some of the outside markets tried to reverse, but it was too early to see a price reversal as uncertainty remains in all areas of the economy. Dairy exports in February declined 5% compared to February 2024. The losses in the dry products offset the gains in other categories. The total value of exports increased 12% from a year ago. Dairy prices were lower in February, but most products exported were contracted earlier at higher prices.
AVERAGE CLASS III PRICES:
| 3 Month: | $17.04 |
| 6 Month: | $17.47 |
| 9 Month: | $17.62 |
| 12 Month: | $17.64 |
CHEESE:
February cheese exports were up 7%, totaling 44,907 metric tons. Lactose exports declined 4%, totaling 33,150 metric tons. Whey exports declined 5%, totaling 46,481 metric tons. Dry whey exports totaled 41,215 metric tons, down 2% from a year ago. Whey Protein Concentrate +80 declined 17% to 5,265 metric tons.
BUTTER:
Butterfat exports were the shining star as exports jumped 236% from February 2024, totaling 8,642 metric tons. Nonfat dry milk/skim milk powder totaled 48,474 metric tons, down 26% from a year ago. Exports of whole milk powder totaled 2,717 metric tons, up 20%.
OUTSIDE MARKETS SUMMARY:
May corn closed up 4.50 cents per bushel at $4.6900, May soybeans closed up 9.75 cents at $9.9275 and May soybean meal closed up $2.60 per ton at $291.00. May Chicago wheat closed up 3.50 cents at $5.4000. June live cattle closed down $0.55 at $193.63. May crude oil is down $2.50 per barrel at $58.20. The Dow Jones Industrial Average is down 320 points at 37,646 with the NASDAQ down 335 points at 15,268.
