After ending last week with a tumble, CME cheese markets began this week with a surge, thanks in large part to USDA’s bullish Cold Storage report. Blocks shot up $0.1025 to reach $2.1400 per pound, the highest price since January 2023. Barrels leapt to $2.2500 per pound, up 15 cents. That was the biggest single-day jump since January 2023. Seven lots of blocks and one load of barrels traded. Butter also found support, adding 4.5 cents to $3.1750 per pound, with three lots exchanged. Meanwhile, spot NDM inched closer to the $1.30-per-pound mark, settling at $1.2975 per pound, up 1.5. Fourteen lots changed hands.
Class III futures rocketed upward along with spot cheese. September, October and November contracts each settled limit up (+75 cents) at $22.54, $23.05 and $22.26 per hundredweight, respectively. All cheese contracts through the rest of 2024 also jumped, with September ($2.2050 per pound), October ($2.2400), November ($2.1470) and December ($2.0250) all closing limit up (+7.5 cents).
USDA rated 65% of the US corn crop as good/excellent, down from 67% last week, but still well above the five-year average of 58%. The soybean crop was 67% good/excellent, compared to 68% the week before and 58% on the five-year average.
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.
