Milk Prices
Historical marketing events are happening in dairy right now. Class III and Class IV have drifted apart. Meanwhile, butter has fallen below the price of cheese, a rare market anomaly, signaling an imbalance in market prices.
From beef-on-dairy calves fetching record prices to $11 billion in new processing plants, U.S. dairy is riding a wave of momentum fueled by consumer demand for protein and historic levels of investment.
The dairy industry is on the brink of significant price shifts as milk and dairy futures predict a decline in milk prices in the coming months. However, a simultaneous drop in feed costs is offering a glimmer of hope to balance these changes
Strategic growth in cow numbers, innovative revenue streams, and expanding export markets signify a promising future.
Dairy markets are falling through support levels as the overabundance of milk supply weighs heavily on prices. At the same time, changes in the Federal Milk Marketing Order are beginning to roll out.
The tidal wave will likely continue to grow through the end of 2025 before a correction occurs.
The buzz in the dairy countryside is palpable — more milk is needed with $8 billion in dairy processing coming onboard. This excitement has spread from boardrooms to barns, driving remarkable growth in milk production across the U.S.
Alternative revenue sources are becoming more and more common to help producers financially stay afloat. The goal moving forward is clear: striking a delicate balance that ensures longevity and relevance in an ever-changing industry.
In what has been a rollercoaster year for dairy markets, with plummeting prices evoking scenes of freefall, last week’s USDA September WASDE Report delivered much-needed fragments of optimism.
Slow demand from the world’s largest importers of milk powder is expected to add to the downturn.
The current assessment of the CME markets reveals a largely range-bound status, yet this doesn’t mask the underlying shifts and trends that we should be mindful of.
The movement of butter prices is intricately tied to the calendar. In the short term, global supply is abundant, overshadowing a demand that — while inherently strong — shows signs of weakening. This scenario paints a picture of potential volatility, with an immediate downside risk in butter prices.
The CME spot butter market continues to steal the attention as prices dropped another few cents. Can this market break $2?
The dairy market experienced a notable turn of events as butter futures managed to claw back from their previous losses, caught in the wake of yesterday’s chaotic trading.
Butter plunged to a new year-to-date low, while cheese prices continue to bounce.
The big question that remains is how much of the holiday demand has already been accounted for and is that what’s eating into those inventories on top of record exports?
The combination of bullish storage data, steady production and incremental price gains paints an intriguing picture for the butter market.
Economics suggest producers will keep cull rates low.
The latest milk production report, which revealed an upswing in milk production marking the strongest growth in four years, the dairy futures have responded in kind with a downturn
From increasing herd sizes to robust export growth, the industry is poised for continued success, backed by effective production strategies and substantial investments across the U.S. countryside.
With kids returning to school, bottling production is ramping up amid tightening spot milk supply, raising the question of whether this is a short-term issue or a longer-term trend.
Across the board, Class III traded lower with the vast majority of the day’s volume focused in the September and October 2025 contracts.
While spot block prices experienced a marginal increase, giving a push to cheese futures, Class III prices didn’t fare as well.
Through production is increasing, milk prices might be softening.
Dairy markets opened the week on a stronger note, with cheese and butter prices rebounding and Class III and IV futures gaining momentum.
As the dairy industry continues adapting to market demands, there is hope that current positive trends will benefit producers for the foreseeable future.
Despite softer spot cheese prices, tight milk supplies and steady demand continue to underpin market strength.
As the maker of Kerrygold diversifies sales away from the United States, domestic brands are likely to benefit.
Cheese prices climbed to their highest level in nearly two months, while Class III futures and butter prices moved lower.
Spot cheese prices pushed higher, lifting September Class III, while butter losses brought Class III and IV prices closer to parity.