Market News

Milk futures firm, cash cheese holds

In Class III trade at the Chicago Mercantile Exchange, milk futures were mixed, with February through July 2016 posting modest gains. February was up $.03 at $13.91 and March was $.03 higher at $13.88, while April was $.07 higher at $13.97 and May was up $.02 at $14.27.

Over in the spot market, cash cheese was unchanged. Barrels held at $1.45 and blocks stayed at $1.46.

Butter was up $.0025 at $2.10. There were two loads sold at that price and the last bid unfilled was on one load, also at $2.10.

Grade A nonfat dry milk was down one and a half at $.695. There were a total of six loads sold, from $.69 to $.705, with two loads selling at the closing price. The last bid unfilled was on one load at $.6925.

The Global Dairy Trade price index continues to slide, down 7.4% on Tuesday, reflecting the available global supply and uncertainty about demand. The average price was reported at $2,276 per metric ton, with more than 24,000 tons sold. All products were lower, including a more than 10% drop in whole milk powder and more than 8% decline in butter. The next auction is scheduled for Tuesday, February 16th.