A Quiet Day in Dairy Markets | Dairy Herd

Dairy markets were relatively quiet to start the week. Spot block and barrel prices eased to $1.8300 and $1.8600 per pound, respectively, both down three-quarters of a cent, with zero loads exchanged. Butter prices advanced slightly to $2.6750 per pound, up a half cent, with 10 lots sold.

Class III futures followed spot cheese markets lower, with the November contract settling at $20.08 per hundredweight, down 17 cents. Q1 prices were also in the red, settling at $19.48 per hundredweight, 20 cents lower. Class IV remains steadier. Q1 contracts were unchanged at $21.25 per hundredweight.

According to the latest Dairy Products report, butter production in September totaled 159.2 million pounds, up 11.3% (+16.1 million pounds) year-over-year but down 0.4% (-0.7 million pounds) from August. At the same time, total cheese production reached 1.160 billion pounds, holding relatively steady when compared to last year (+0.3 million pounds) but down 3.1% (-37.1 million pounds) month-over-month.

Ever.Ag - The risk of loss trading commodity futures and options can be substantial. Investors should carefully consider the inherent risks in light of their financial condition. The information contained herein has been obtained from sources to be reliable, however, no independent verification has been made. The information contained herein is strictly the opinion of its author and not necessarily of Ever.Ag and is intended to be a solicitation. Past performance is not indicative of future results.