Class III milk markets carved out modest strength in Thursday’s trade session, shortened in tribute to former President Carter. First half 2025 ticked a nickel higher in the end after opening the session near recent contract highs. New cheese plants are demanding more milk, keeping spot milk supplies tighter for this time of year. But cheese is becoming a little more readily available in the countryside as processing capacity increases.
Today’s Highlights
- Spot blocks dipped back below the $1.90 mark, ending the day at $1.8975 per pound, $0.075 lower, with three lots trading. The CME NDM also moved lower, giving up yesterday’s gains to close at $1.3650 per pound, down a half cent, with five loads exchanged. Barrels and butter were unchanged at $1.8700 and $2.6000 per pound, respectively.
- Despite the decline in CME blocks, nearby Class III contracts ticked higher. February and March futures rose to $20.92 and $20.59 per hundredweight, tacking on six and eight cents, respectively.
- Following the holidays, manufacturers returned to regular work schedules while supply met a cold snap that slowed milk flows. USDA reported spot milk prices in the region jumping to a midpoint of $0.50 per hundredweight over class, up from -$3.75 last week and in 2024 and -$4.85 on the five-year average.
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