OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | 5 to 10 Lower |
| Butter Futures: | 1 to 2 Lower |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 1 to 2 Higher |
| Soybean Futures: | 7 to 9 Higher |
| Soybean Meal Futures: | $3 to $4 Higher |
| Wheat Futures: | Mixed |
MILK:
Overnight trading activity in nearby Class III futures was mixed, but with an unusually high volume for overnight. Traders did not pick a specific price direction as futures were mixed. There has been little change in the market fundamentals, leaving traders guessing the direction of underlying cash. Traders do not have the milk production or cold storage reports to look forward to this week as the government remains shutdown. Traders only have the spot markets to provide direction.
CHEESE:
Cheese production is steady to stronger, depending on variety and location. Demand is improving, but less than anticipated. Cheese buyers have been active, but they have not been aggressive. Prices increased last week, but the upside potential may be limited. Futures did not keep pace with the increase in spot prices as traders remain cautious over continued strength.
BUTTER:
The butter price moved to a new low for the year on Friday, which may result in further weakness this week. Increased cream supplies have increased churning schedules. This may keep sufficient butter supplies available to the market through the rest of this year.
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