OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | 4 to 6 Lower |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 1 to 2 Lower |
| Soybean Futures: | 1 to 2 Higher |
| Soybean Meal Futures: | Mixed |
| Wheat Futures: | 2 to 3 Lower |
MILK:
The pressure on milk futures Monday moved traders to place bids and offers overnight, with limited desire to move those prices. Traders see uncertainty in the market Tuesday as they contemplate whether stability in spot cheese indicates price support or price resistance. The weakness in butter on Monday leaves the potential for further weakness Tuesday and lower Class IV prices. The Global Dairy Trade auction results will be seen Tuesday, indicating the state of international demand.
CHEESE:
Many times, stability in the spot cheese prices indicates price support. However, traders viewed it as a possible point of price resistance for the time being. Cheese production is increasing as milk output increases. More cheese will be available to the market, which needs to be absorbed by demand, or price weakness will unfold.
BUTTER:
The price bounced from this level last time, but it is uncertain whether this will again be a level of support or if buyers will continue to hold back and purchase at lower prices due to the interest of sellers to move supplies. The low price should be attractive for buyers to increase ownership
