Spot Butter and NDM Prices Surge Amid Strong Market Activity
Source: DairyNews.today
Butter prices continued their upward trajectory today, reaching a new year-to-date high. The spot price for butter increased by $0.0225, closing at $3.1975 per pound. This marks a significant post-Cold Storage rally, with 13 loads changing hands during the session.
Similarly, Nonfat Dry Milk (NDM) saw a notable rise, surpassing the $1.30-per-pound threshold for the first time since January 2023. The spot price for NDM settled at $1.3150 per pound, an increase of $0.0175, with 13 lots traded.
Meanwhile, after yesterday’s surge, the CME cheese markets remained steady. Block and barrel cheese prices held firm at $2.1400 and $2.2500 per pound, respectively.
The upward movement in spot butter and NDM prices had a ripple effect on Class IV futures, which saw a significant boost. Fourth quarter contracts closed at $22.78 per hundredweight, up 48 cents. Additionally, the March 2025 NDM contract reached $1.3640 per pound, hitting the limit with a 4-cent increase.
On the supply side, milk production in the EU-28 continued its positive trend, marking the fifth consecutive month of year-over-year growth in June. Production was up by 0.9%, driven by increases in countries such as Italy and Poland, which helped offset smaller declines in Ireland. This sustained production growth is contributing to the overall strength of the dairy markets.
Meanwhile, after yesterday’s surge, the CME cheese markets remained steady. Block and barrel cheese prices held firm at $2.1400 and $2.2500 per pound, respectively.
The upward movement in spot butter and NDM prices had a ripple effect on Class IV futures, which saw a significant boost. Fourth quarter contracts closed at $22.78 per hundredweight, up 48 cents. Additionally, the March 2025 NDM contract reached $1.3640 per pound, hitting the limit with a 4-cent increase.
On the supply side, milk production in the EU-28 continued its positive trend, marking the fifth consecutive month of year-over-year growth in June. Production was up by 0.9%, driven by increases in countries such as Italy and Poland, which helped offset smaller declines in Ireland. This sustained production growth is contributing to the overall strength of the dairy markets.
