Dairy Markets exploded higher on Tuesday as USDA released details on the 5th Round of Farm to Family food box program. $1.5 billion is earmarked for another round that will provide nonprofits with food boxes that will contain 5-6 pounds of Cheese, yogurt, butter, cream cheese, or sour cream.
Limit moves higher in Class III milk occurred quickly after Monday nights overnight open and held all day. All months nearby held 75 cents higher. January at $16.17, February at $17.87, and March $18.03. Limit for Wednesday trading will be expanded to $1.50 either direction.
Class IV milk saw nice gains as well. Nearby was quiet – January gained 6 at $13.85, February 26 at $14.41, but March gained 45 cents to $15.08.
The Spot trade had everything moving higher as buyers showed up to the party. Butter was up 5 ¼ cents with 6 trades to $1.44 ¾, Cheddar blocks jumped 6 cents to $1.67 ¾, and barrels gained 7 ¼ to $1.55 ½. 17 total loads of cheese traded between blocks and barrels.
Grade A nonfat dry milk gained 2 ¾ cents to $1. 17 ½ on 5 loads trading hands and dry whey gained 1 ½ cents to $0.48/lb. on 1 trade.
The Global Dairy Trade Event also saw gains today with all products gaining over 2 weeks prior with an overall gain of 3.9%
With Ever.ag this is Jenny Wackershauser on Know you Markets.
