OPENING CALLS:
| Class III Milk Futures: | 5 to 10 Lower |
| Class IV Milk Futures: | 5 to 10 Lower |
| Butter Futures: | Steady to 1 Lower |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 3 to 4 Lower |
| Soybean Futures: | 4 to 6 Lower |
| Soybean Meal Futures: | $1 to $2 Higher |
| Wheat Futures: | 3 to 4 Lower |
MILK:
Traders are uncertain whether spot cheese prices will continue to rise. Cheese prices remained unchanged on Wednesday, which may be due to prices reaching a threshold. Milk production remains higher than a year ago, keeping cheese output higher as reported on the latest Dairy Products report. Demand needs to improve to keep up with increased production. The outlook for low grain prices with the harvest of an expected large corn crop will keep culling low and cow numbers higher. Bottling demand is increasing as preparation is made for schools being back in session. This increased demand could hold milk prices from falling back anytime soon.
CHEESE:
Spot cheese prices could go either way today. The last time the barrel price was stable for a day, it was just taking a breather and resumed the uptrend. Traders are being cautious in the event prices slip back. There is sufficient cheese available for demand, which may limit gains.
BUTTER:
The butter price just cannot find support. Sellers continue to offer supplies to the spot market, which keeps buyers placing lower bids. Buyers have been able to purchase butter for immediate use and for later demand. This will limit the upside price potential as the year progresses.
