Daily Dairy Trading: Butter Surges, Friday
US – Spot Butter rocketed on Friday to close at $1.8800 per pound on the back of strong bidding, reported the Chicago Mercantile Exchange (CME).
3 March 2014
2 minute read
Nineteen bids resulted in a ten cent lift which took the weekly volume to 36.
This came after small losses each day last week and left the value well clear on the prior week average of $1.7763, according to the Agricultural Marketing Service.
Analysts have said December Butter production was 6.9 per cent lower than a year ago and that tight supplies and strong exports are resulting in high and record dairy prices.
The futures floor reported a mixed close for Butter. March and April both lifted to $183.00 while May edged higher to $181.00.
Elsewhere, the spot floor reported no trades for Cheddar last week but 12 milk powder trades were reported by the CME.
This left Non-fat Dry Milk at $2.0400, a gain on the week before but down from Monday’s close of $2.0475.
Class III milk futures finished mostly lower. March closed down eight cents to $22.15, May slipped 14 cents at $20.07 and June finished at $19.94 – 13 cents lower.
Class IV March milk edged a cent to close on $23.12. Other futures finished higher with the biggest gains seen for April – up 13 cents at $23.03 – and August, which closed 13 cents higher to $21.27.
Cheese futures closed down. March settled at $2.163 and April on $2.033.
Non-fat Dry Milk finished mixed, although contracts from June onwards closed lower. March finished on $205.625 and April stayed at $202.750. May increased to $195.750.
Michael Priestley
TheCattleSite News Desk
