Milk Prices Trade Higher After a Mainly Negative Week
Early weakness in Class III milk was reversed later Friday. Cheese found a bid in the CME spot dairy auction and printed gains of 4.75 cents in the block and 2.25 cents in the barrel. This is really the first time since November began that cheese had a positive session. Blocks settled out the day at $1.6450/lb and barrels at $1.4225/lb, respectively. Butter lost another 2.5 cents and ended at $1.345/lb. Dry whey added 1.75 cents/lb to $0.4375/lb which is a new high dating back to early 2019. Grade A nonfat dry milk rose a half cent and closed at $1.0850/lb.
Class III milk prices traded 40 cents stronger on Friday in December and reached back up to $16.00/cwt. 2021 results had January also up around 40 cents, February 22 higher, and remaining months 2 – 12 cents stronger. Class IV prices fell 12 cents in December to $13.23/cwt whereas most 2021 months were about 10 cents lower.
Grain prices pushed contract highs in the overnight and early morning trade but finished near there daily trading lows. Corn added a penny to a settlement of $4.23/bu. Soybeans tried testing the pivotal $12/bu threshold and traded as high at $11.9675/bu but failed and ended at $11.81/bu. $12.085/bu represents the 2016 high and major resistance. Soybean meal made a run at the $400/ton marker for a third time this week. Meal closed at $395/ton. The wheat complex ended in a range of 2 cents higher to 2 cents lower.
