GENERAL OVERVIEW:
There was not much for traders to provide price direction. Spot prices were unchanged or lower. The May class prices were higher in all classes.
MILK:
Any hope for a rebound in milk futures was dashed as underlying cash prices did not move much, and the movement that did take place showed weakness. Milk production in some areas of the country continues at spring flush levels. Others surpassed the peak but continue to remain strong. Fluid milk for school accounts has declined substantially as schools are closed for the summer. More milk is consumed at home, but consumption is generally not at the same level as it is in the school systems. Milk for butter and cheese production is plentiful, keeping manufacturing plants running on full schedules. The May Federal Order class prices were released. The Class II price is $20.28, up $1.46 from April and $1.56 higher than May 2025. The Class III price is $16.92, up $0.10 from April, but down $1.65 from a year ago. The Class IV price is $22.32, up $2.10 from April and $4.19 higher than May 2025.
AVERAGE CLASS III PRICES:
| 3 Month: | $16.66 |
| 6 Month: | $17.39 |
| 9 Month: | $17.50 |
| 12 Month: | $17.50 |
CHEESE:
Trading activity in the spot block cheese market was heavy for the first two days of the week but dried up today. Buyers did not aggressively pursue the market even though sellers did not offer many loads. Buyers are interested in buying but are not interested in bidding higher to get it. Increased cheese production keeps supplies readily available to the market.
BUTTER:
Buyers took advantage of the lower price early in spot trading as they became more aggressive, resulting in the butter holding its recent gains. Churns continue to operate seven days a week, with some now selling some of their cream supply to take advantage of higher premiums from other Class II products.
OUTSIDE MARKETS SUMMARY:
July corn closed down 9.00 cents per bushel at $4.3150, July soybeans closed down 11.25 cents at $11.5400, and July soybean meal closed down $5.40 per ton at $320.80. July Chicago wheat closed down 15.75 cents at $5.8725. August live cattle closed down $1.80 at $237.85. July crude oil is up $2.26 per barrel at $96.02. The Dow Jones Industrial Average is down 621 points at 50,687, with the NASDAQ down 240 points at 26,854.
