OPENING CALLS:
| Class III Milk Futures: | Mixed |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 1 to 2 Higher |
| Soybean Futures: | 3 to 4 Higher |
| Soybean Meal Futures: | $0.50 to $1 Higher |
| Wheat Futures: | 6 to 8 Lower |
MILK:
Market fundamentals have changed little over the past weeks, leaving trading activity confined to scalping rather than long-term positions. Price increases have been met with increased selling pressure. Lower prices increased buying interest in the cash market. Market volatility is being exploited through short-term trades with limited profit. One could say the market is stuck. More milk is moving to bottling for school accounts, while milk production is improving and remains above a year ago, offsetting the shift in demand.
CHEESE:
Spot cheese prices are expected to remain range-bound as buyers and sellers take care of business. Buyers see little reason to purchase aggressively and build inventory, while sellers want to move supplies to limit building inventory. Prices will remain choppy.
BUTTER:
Butter remains in a downtrend with buyers able to purchase supplies without having to remain aggressive. Churning remains active, supplying sufficient butter for demand. The large volume of loads traded on the spot market is allowing buyers to purchase for immediate demand and upcoming demand without having to chase the market higher. This may reduce buying aggressiveness later in the year.
