Dairy markets ended in the green on Tuesday after a positive Global Dairy Trade (GDT) event as well as a stronger CME spot dairy auction. The GDT index rose 1.8% overall and was led by butter (+6.2%) and butter milk powder (+10.7%). Butter ended up closing at a value of $2.225/lb. Cheddar rose 2.3% with a settlement value of $1.895/lb. Skim milk powder declined 1.5% to $1.45/lb while whole milk powder added 2.3% to a value of $1.5675/lb.
Butter was the biggest mover in today’s CME spot dairy auction. Butter traded 9 loads and 8.25 cents/lb higher to a settlement of $1.2925. Block cheese rose ¾ of a cent following 2 loads and closing price of $1.59/lb. Nonfat weakened a penny and a half with prices at $1.1375. Neither barrels or whey changed in value on Tuesday.
Class III values traded 30 cents in the green for February with a settlement near $15.80/cwt. Remaining months in 2021 closed in a range of 5 lower to 10 cents higher. The second quarter average is offering dairies $16.75/cwt while 2nd half 2021 is closer to $17.25/cwt. Class IV months continue to struggle with April down 4 cents, May lost 21 cents, and Jan 2022 traded 20 lower.
The grain complex found sellers across the board on Tuesday. Corn suffered a 6 cent loss, soybeans were down 11 cents, and wheat ranged from 2-6 lower.
