OPENING CALLS:
| Class III Milk Futures: | 15 to 30 Higher |
| Class IV Milk Futures: | Mixed |
| Butter Futures: | Mixed |
OUTSIDE MARKET OPENING CALLS:
| Corn Futures: | 3 to 4 Higher |
| Soybean Futures: | 1 to 3 Lower |
| Soybean Meal Futures: | $1.00 to $1.30 Higher |
| Wheat Futures: | 1 to 3 Higher |
MILK:
Overnight markets are trading 15 to 26 cents higher for Class III futures. Class IV futures have not yet been traded. This week, there are several reports to prepare for. The Global Dairy Trade will take place Tuesday. The September exports data will be released on Wednesday, along with Federal Order Class and Component Prices. Thursday will bring the final report of the week with the September Dairy Products report.
CHEESE:
A sharp decline in cheddar cheese blocks Friday during the spot market was unexpected given the recent strength. Last week, the government announced a new plan to purchase $165.5 million worth of milk and cheese products to help feed Americans in need. The last time a product of much larger scale was implemented, back in 2020, it had a very positive effect on dairy prices. Futures are trading higher for cheese Monday morning with overnight markets climbing 1.6 to 2.4 cents higher.
BUTTER:
Butter demand has been stronger in the West while steady across the rest of the country. We have yet to see a major impact on price from holiday demand as inventories have been steady. There is plenty of cream available and most manufacturers are running six days a week. The preparation for the holiday season is here, and now the market awaits to see how strong that demand will be.
