After an explosive start to the week, the spot cheese market cooled off this morning. Class III futures have seen strong upside over the past few days, particularly in the front months of September and October 2025. Despite the lack of upside in the spot market, nearby Class III managed to climb back from trading lower on the day. This came in the face of 10-cents-per-pound premiums in nearby futures contracts, which suggest we have the potential for more strength out of the cash market (or at the very least the reported price in the NDPSR). Something else on the radar: feeder cattle. The September 2025 contract closed at all-time record highs again today, and the momentum points to higher yet. In the corn market, the December 2025 contract took a stab at breaking below $4.00 per bushel. That price didn’t hold as the contract rebounded to settle at $4.02.
Today’s Highlights from Ever.Ag’s Know Your Markets
- There wasn’t much action in Chicago today. Spot blocks made the biggest move, down a penny to $2.4300 per pound, with five lots changing hands. The only other movement was in spot blocks, which dipped to $1.8000 per pound, a quarter-cent loss.
- There weren’t any major moves in futures, either. September Class III advanced to $18.43 per hundredweight, tacking on six cents. Fourth quarter Class IV slipped to $19.22 per hundredweight, shedding 19 cents.
- US NDM remains the most expensive globally, but the margin is still narrow. The CME NDM average for the week so far sits at $1.28 per pound compared to $1.27 in New Zealand and $1.25 in Europe. Even with this week’s increase in CME cheese, the US average of $1.80 per pound remains well below New Zealand’s $2.08 and Europe’s $2.34. US butter dipped to $2.44 per pound, while New Zealand declined to $3.19 and EU rose to $3.65.
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.
