CME cheese markets resumed their surge, with blocks leaping to $2.1000 per pound, $0.0725 higher, to reach a price last seen in March 2023. Barrels gained 8.5 cents to reach $2.2500 per pound. Four lots of blocks and one of barrels traded. Spot butter trades reached a new record, with 51 loads changing hands – the heaviest single day since daily trading began in 2006. Spot prices climbed to $3.1450 per pound, up 2.5 cents.
As spot blocks and barrels jumped, so did Class III and “all cheese” futures. September and October Class III contracts climbed to $22.05 and $22.40 per hundredweight, each limit up (+75 cents). September and October “all cheese” futures were also limit up (+7.5 cents), settling at $2.1480 and $2.1780 per pound, respectively.
US July retail sales came in ahead of expectations at $709.7 billion, up 1.0% on the month and +2.8% versus 2023. That compares to the inflation rate of +0.2% and +2.9%. Grocery sales kept ahead of rising prices, up 1.0% month-over-month and +2.3% on the year compared to food-at-home inflation of +0.1% and +1.1%. Food service spending advanced 0.3% and +3.6%, while menu prices lifted 0.2% and +4.1%.
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.
