Class III futures remain under pressure, with block prices declining 15 cents over the past two trading sessions. However, late-session bids emerged to provide a floor today. Tariffs set to take effect tomorrow may have contributed to market movement, while increased cheese production capacity continues to weigh on the outlook. Butter prices remained unchanged with five lots traded, though futures faced further declines following a relatively bearish Cold Storage report and continued accounts of abundant cream.
Today’s Highlights from Ever.Ag’s Know Your Markets
- After falling Friday, spot blocks continued to drop, tumbling to $1.7200 per pound, 5.5 cents lower, with 10 loads trading. Barrels ticked up a quarter cent to $1.7825 per pound, with four lots exchanged. Meanwhile, the CME NDM market dipped to $1.1925 per pound, down $0.0075 to the lowest price since July 2024. Four loads changed hands. The first day of new-crop butter was a dud for the spot market, which held steady at $2.3450.
- Class III futures are following CME blocks on a downward path, settling today at $18.00 per hundredweight. That’s a 17-cent loss and the lowest price since April 2024.
- Trade concerns and abundant supply are weighing heavily on nearby grain futures as planting season approaches. The March corn contract dropped $0.1325 to close at $4.4025 per bushel. March soybeans slipped below the $10-per-bushel mark and ended the day at $9.9825 per bushel, also $0.01325 lower.
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.
