Market News

Butter and NFDM move higher

Cheese prices held steady on the Chicago Mercantile Exchange on Thursday, butter increased 3 cents and nonfat dry milk was a nickel higher. Class III futures were mostly a little higher. Milk production continues to trend lower in the North Central and Northeast as hot weather and high humidities pressured production this week. Dairy Market News says the number of spot loads being shipped to the Southeast is climbing steadily. 180 loads went to Florida this week and 50 loads went to other Southeastern states. Florida has imported 540 loads in the last three weeks.

Class I demand is expected to be a little lighter next week as schools are closed for Labor Day.

Cheese production in the U.S. in July totaled 988 million pounds up 3.1 percent from July of last year. Italian type cheese output was 3.2 percent higher at 422 million pounds and American type cheese production totaled 393 million pounds up 3.4 percent from a year ago.

Wisconsin cheese production totaled 261 million pounds in July up 7.3 percent from July of last year.  California cheese production totaled 206 million pounds in July up 1.7 percent from July of 2014.

Butter production totaled 133 million pounds in July down 3.2 percent from July of 2014.

Cheese production from January through July is running 2.3 percent above the same period in 2014. Butter production for the 7-month period is running 1.7 percent below year-ago levels.