Class III milk markets witnessed one for the books on Friday! A stronger open across the forward curve was seen early and peaked after the CME spot dairy auction at limit up in Q1 2021. Fast forward to the end of the session, however, and one would see that most months settled near unchanged for the day after moving into negative territory. Regardless, the volatility felt often over the last 7 months was back on Friday. January closed near $16.29/cwt while all other 2021 months closed between $17.08 and $17.69/cwt.
CME spot dairy auction did little to allude to the direction and wildness seen in Class III. Butter lost 3.5 cents to $1.48/lb following 12 trades. Block cheese also traded lower softening 2.5 cents to $1.6175/lb. Barrel cheese added 1.75 cents/lb to 1.4425/lb. Grade A nonfat dry milk finished unchanged Friday. Dry whey declined a quarter cent to $0.4675/lb.
Grain prices rose in all three complexes. Corn added 4 cents to $4.2425/bu. Soybeans rose 7.5 cents/bu and closed at $11.60. Wheat ranged from 7 higher in Minneapolis to 18 cents stronger in Chicago off rumors that Russia could issue export restrictions on their product.
