Dairy Market News Update by USDA - March 15, 2024
Source: The DairyNews
The U.S. Department of Agriculture has presented a weekly report on the state of the dairy market.
CME Group Cash Markets:
Butter: Grade AA closed at $2.8225, with a weekly average of $2.8290, indicating a slight increase.
Cheese: Barrels closed at $1.4425 and 40# blocks at $1.4700. The weekly average for barrels is $1.4370, and blocks at $1.4495.
Nonfat Dry Milk: Grade A closed at $1.1625, with a weekly average of $1.1650.
Dry Whey: Extra grade dry whey closed at $0.4450, with a weekly average of $0.4300.
Butter Highlights:
Retail demand for butter remains strong to steady across the country. While demand for spring holidays varies by region, overall production schedules are robust. Some concerns arise regarding tight unsalted spot load availability through Q2, but bulk butter overages range from 3 to 12 cents above market across all regions.
Cheese Highlights:
Farm level milk production continues to grow, particularly in the East region. Class III spot milk demand is increasing as spring holidays approach. Cheese inventories are ample, with fluctuations in demand observed across regions. Retail demand is steady to stronger, particularly in the Central region.
Fluid Milk:
Milk production is strong or strengthening across much of the country, though air quality concerns impact production in the South Central Midwest. Educational institutions preparing for spring break have led to lighter Class I demand. Strong demand for Class II milk is noted in the Mid-Atlantic and Southeast regions.
Dry Products:
Prices for low/medium heat nonfat dry milk (NDM) have moved higher in some regions, with increased interest from purchases in Mexico. High heat NDM prices have moved lower in the West due to available spot inventories. Dry buttermilk prices held steady or slightly lower across regions.
Butter: Grade AA closed at $2.8225, with a weekly average of $2.8290, indicating a slight increase.
Cheese: Barrels closed at $1.4425 and 40# blocks at $1.4700. The weekly average for barrels is $1.4370, and blocks at $1.4495.
Nonfat Dry Milk: Grade A closed at $1.1625, with a weekly average of $1.1650.
Dry Whey: Extra grade dry whey closed at $0.4450, with a weekly average of $0.4300.
Butter Highlights:
Retail demand for butter remains strong to steady across the country. While demand for spring holidays varies by region, overall production schedules are robust. Some concerns arise regarding tight unsalted spot load availability through Q2, but bulk butter overages range from 3 to 12 cents above market across all regions.
Cheese Highlights:
Farm level milk production continues to grow, particularly in the East region. Class III spot milk demand is increasing as spring holidays approach. Cheese inventories are ample, with fluctuations in demand observed across regions. Retail demand is steady to stronger, particularly in the Central region.
Fluid Milk:
Milk production is strong or strengthening across much of the country, though air quality concerns impact production in the South Central Midwest. Educational institutions preparing for spring break have led to lighter Class I demand. Strong demand for Class II milk is noted in the Mid-Atlantic and Southeast regions.
Dry Products:
Prices for low/medium heat nonfat dry milk (NDM) have moved higher in some regions, with increased interest from purchases in Mexico. High heat NDM prices have moved lower in the West due to available spot inventories. Dry buttermilk prices held steady or slightly lower across regions.
