GENERAL OVERVIEW:
Butter traded 161 loads this week as prices slipped on average 2.6 cents. Buyers flocked to the table to fill inventory before summer demand hits as inventories usually tend to slip this time of year.
MILK:
Class III futures slowly moved lower this week with the June contract dipping below $16. Dry whey futures traded sideways with less than one cent move from the high settlement to the low. Class IV futures continued to slip lower this week after a disappointing week last week. The USDA released the WASDE report Thursday with expectations of milk production to continue to grow into next year. Luckily, the market seems to be able to consume what we produce despite the growing supply. Exports are strong especially in non-fluid products.
AVERAGE CLASS III PRICES:
| 3 Month: | $16.48 |
| 6 Month: | $17.20 |
| 9 Month: | $17.34 |
| 12 Month: | $17.38 |
CHEESE:
For the week, blocks gained 0.25 cent with 21 loads traded. The weekly average price is $1.4815. Barrels fell 6 cents from Monday to Friday with 4 loads traded. However, the weekly average increased from last week due to such a strong start to the week on Monday. The weekly average price is $1.4540. Dry whey increased 1 cent with 4 loads traded. The weekly average price is 67.70 cents.
BUTTER:
For the week, butter decreased 3.25 cents with 161 loads traded. Demand has been substantial in the last few weeks. The weekly average price is $1.6665. Grade A nonfat dry milk declined 11.25 cents with 51 loads traded. The weekly average price is $2.1160.
OUTSIDE MARKETS SUMMARY:
July corn closed up 1.00 cent per bushel at $4.1275, July soybeans closed down 1.5 cents at $11.1350, and July soybean meal closed down $0.04 per ton at $301.30. July Chicago wheat closed down 2.25 cents at $5.8450. August live cattle closed down $2.25 at $241.175. July crude oil is down $3.42 per barrel at $84.29. The Dow Jones Industrial Average is up 353 points at 51,202, with the NASDAQ up 79 points at 25,888.
