In Class III trade at the Chicago Mercantile Exchange, milk futures were mostly lower with the most active months down on profit taking after Tuesday’s gains. September was up $.01 at $16.36, while October was down $.26 at $15.94, November was $.33 lower at $16.15, and December was down $.30 at $15.96.
Cash cheese blocks were down $.0125 at $1.585. There were a total of eight loads sold, one at the closing price. The last unfilled bid was on one load at $1.575. The last uncovered offer was for one load at $1.59. Barrels were up $.0025 at $1.51. There were six loads sold, including two at $1.51. The last uncovered offer was for one load at $1.53.
Butter was $.0125 higher at $1.9675. There were six loads sold, one at the closing price. The last unfilled bid was on two loads at $1.94.
Nonfat dry milk was up $.0025 at $.9225. There were three loads sold, one at $.9225 and two at $.925. The last unfilled bid was on two loads at $.92. The last uncovered offer was for two loads at $.93.
California’s Department of Food and Agriculture reports the average nonfat dry milk price for the week ending September 16th was just over $.87 per pound, up about a penny on the week. Sales of more than 12 million pounds were up more than 2.5 million.
New Zealand’s Fonterra coop raised its earnings forecast for the current marketing year citing stable demand and declining global production. According to Rabobank, 67% of New Zealand’s dairy farmers expect improving economic conditions for the sector because of the recent strength in the GDT and other auctions. That’s the highest level of confidence by New Zealand dairy producers since October 2007.
According to HighGround Dairy, European Union dairy prices for the week ending September 21st were mixed, mostly higher. Production was also mixed, down in Germany and the United Kingdom, up slightly in France. Starting in October, the European Commission will begin compensating farmers for lowering milk production over a three month period.
Source: Brownfield Ag News
