Milk Prices
Across the dairy complex, sellers came armed with product to move and buyers had their checkbooks out.
Dairy farmers are riding a wave of market uncertainty in 2025, with trade battles, feed price swings, and booming cheese production shaking up the industry. Experts Sarina Sharp and Katie Burgess break down the top trends shaping the year ahead.
Class III futures were slightly lower after a spot cheese session that saw large volumes of product change hands.
Manufacturers appear to have ample supply, leading them to the spot market to offload inventory.
Dairy markets do not seem too concerned about U.S. milk production growing at its fastest pace in two years.
Futures markets had a tame day ahead of USDA’s Milk Production report.
As the first major day of the NCAA March Madness tournament kicked off on Thursday with heroes, upsets and Cinderella teams, markets had their own version.
If the dollar falls far enough, dairy exports could still be competitive even with retaliatory tariffs.
Low prices triggered buyer interest in spot blocks, which climbed up to $1.6050 per pound, three cents higher, with seven loads trading.
As we navigate the milk market’s changing dynamics in 2025, stakeholders must remain vigilant and proactive.
Class III futures are down again, with May taking the biggest hit, down 25 cents on the day.
There is no doubt there will be significant volatility this year. Politics, equity markets, weather, supply, and demand will all affect the markets
A strong pinch is in order for dairy markets this Saint Patrick’s Day, with no green on the board.
CME cheese markets moved upward. Spot blocks climbed to $1.7350 per pound, up 3 cents, and barrels closed at $1.7300, 6 cents higher.
Last week, the U.S. dollar had the worst week-to-week performance since 1995 and that, combined with global dairy price premiums, should spark some export interest and support domestic prices.
It was a noisy week with tariff uncertainty, and the markets remain on edge to see what next week brings.
U.S. cheese exports got off to a strong start in 2025, with outbound volumes totaling 103 million pounds in January, up 22% (+18 million pounds) on the year.
Cheese and butter are clear deals in the export space — but some traders indicate that tariff uncertainty has given them a reason to pause on what would normally be lucrative purchases.
Dairy prices have been under pressure from lower demand and future demand uncertainty. Tariffs have cast a bearish cloud over the market. The first lab-grown milk without a cow has been successfully produced.
U.S. tariffs are in full effect with Canada, Mexico and China, contributing to the already heavy atmosphere.
Tariffs set to take effect tomorrow may have contributed to market movement, while increased cheese production capacity continues to weigh on the outlook.
After what had been a pretty quiet month, the spot cheese market finished February with a thud.
The on-again, off-again rollercoaster in terms of trade and tariff headlines continued today, following an early morning post from President Trump.
Class III futures are still trading at a discount to current spot prices, indicating an expectation of a significant spot market break.
Class III futures tumbled further, with the March contract down 31 cents to $18.70 per hundredweight and Q2 futures settling at $18.33, a 23-cent loss.
Both domestic and foreign buyers step back from potential trade war.
Coming off Friday’s January Milk Production report, which was lower than expected, dairy markets largely moved lower this morning.
Today’s USDA Milk Production report will likely set the tone for the week ahead.
Dry whey and nonfat dry milk prices are under pressure. This is having a significant impact on the potential for milk prices.