The CME spot dairy auction turned in an even to stronger session to kick off this week. The highlight was the butter market as today marked the first day of the new crop year. Butter processed prior to December 1st, 2020 is now ineligible to be brought and traded on the exchange. Prices jumped 16.5 cents/lb in butter and settled out at $1.635/lb, three loads were exchanged from seller to buyer. Cheddar barrels and whey each finished unchanged with one trade taking place. Cheddar blocks added ¾ of a cent to $1.625/lb, 4 loads moved hands. Grade A nonfat dry milk rose a penny with 16 trades.
Class III values began Monday’s session in double digit negative territory but managed to dig out of that hole and close just a nickel lower March through July 2021 while August through December was even to a dime higher. The second half 2021 average is now offering dairy producers a $17.95/cwt average and even touched $18.00. Class IV markets rose following butter’s impressive move but only a modest 15 – 25 cents/cwt.
Grain values ended Monday in a sea of red following a mainly higher overnight session. Corn lost 8 cents on the front end while new crop was down 2 cents. Soybeans weakened 12-13 cents/bu while meal was off $3/ton. The wheat complex fell 5-11 cents/bu.
