OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Steady to 1 Higher |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 2 to 3 Lower |
| Soybean Futures: | 4 to 6 Lower |
| Soybean Meal Futures: | $1 to $2 Lower |
| Wheat Futures: | 2 to 4 Lower |
MILK:
Milk futures may not have much bullish news to move prices too much higher in the near term. The July Milk Production report will be released on Thursday, and the Cold Storage report on Friday. Before further direction from those reports, daily cash activity will determine price volatility. Traders continue to trade futures on a short-term basis, looking mainly to take a quick profit on daily price movements if they correctly guess the market direction. There have been no significant fundamental changes in the market, which may keep prices choppy.
CHEESE:
The weakness of cheese prices over the past two days may continue as buyers might hold back to see how aggressive sellers will be. Buyers want to purchase cheese but may not want to be aggressive due to the sufficient supply and the lack of a seasonal demand increase. Cheese prices may have reached a temporary threshold.
BUTTER:
Buyers may step up more aggressively at the low butter price. Holding back for yet lower prices may not be in their best interest as seasonal demand should improve. However, the fact that the price has trended lower through this time of year may reduce the price potential for the rest of the year.
