At the Chicago Mercantile Exchange, milk futures were mostly down and cash dairy prices were mixed Tuesday, in light of the announcement by the Chinese to retaliate against the most recent round of U.S. tariffs. Class III finishing a nickel lower in its average from now through the end of the year at $16.08. September Class Three milk was up $.01 to $16.13. October was down $.05 to $16.06. November was down $.07 at $16.18. December was down $.10 to $15.94. The milk futures from January through next August ranged from one to six cents lower.
The Global Dairy Trade index fell 1.3% during Tuesday’s trading event (Event #220) with the average price at $2,934 per ton. Cheddar led the charge in its decline lower falling 3.5% to $1.59 a pound while from a volume-weighted standpoint, whole milk and skim milk powder where the real detractors in the declining index. Whole milk powder fell 1.8% to $1.26 a pound while skim milk powder fell 1.1% to 96 cents a pound. Those two products account for more than 75% of the volume in the GDT auction.
Later that would translate into a lower Grade A nonfat dry milk price were in the CME spot trade. The price fell a quarter sent to 86 and three quarters. Barrels were down $.0125 at $1.4075 per pound in line with the GDT trade dropping a penny and a quarter to $1.40 and three quarters. Blocks took the opposite direction rising a penny to $1.61 and a half. Butter followed suit in that regard moving another penny and half higher to $2.27 and a half while whey set another record at 52 and a half cents, up another quarter cent.
