Milk prices are $5 to $8 higher than a year ago.

According to the USDA’s announcement of class prices on June 1, the May Class III price is $17.60. That price is $1.51 higher than April and $6.77 more than a year ago.

The Class IV price posted even higher gains. For May, it is $18.48. That is a gain of $2.36 versus April and $8.15 higher than a year ago.

The Class II price is $16.62 for May — up $2.11 versus April and $5.49 higher than May 2006.

Cheese prices are about 15 cents higher than a month ago. At the Chicago Mercantile Exchange, block cheese settled at $1.855 on May 31. Barrel cheese stood at $1.8575 on May 31.  

The milk futures market also felt the momentum. For instance, the July Class III contract settled at $20.49 on May 31 — close to the contract highs posted in 2004.

Source: USDA, CME