Dairy Report

Dairy- The CME spot butter market is moving lower due in part to the ongoing decline in the international butter market.  The government support price level for butter is $1.05 a pound which suggests that downside risk from here should be no more than a dime.  The CME cheese markets are moving downward but cheese at these levels will not likely be profitable for milk farmers going forward.  November US milk output was 1.1% more than last year due mostly to a .9% larger milk cow herd. 

 

Market Trend

Supplies

Price vs. Last Year

Cheese Barrels- CME

      Decreasing

Good

               Lower

Cheese 40 lb Blocks- CME

Decreasing

Good

Lower

American Cheese

Decreasing

Good

Lower

Cheddar Cheese

Decreasing

Good

Higher

Mozzarella Cheese

Decreasing

Good

Lower

Provolone Cheese

Steady

Good

Lower

Parmesan Cheese

Steady

Good

Lower

Butter- One lb Solids

Decreasing

Good

Lower

Nonfat Dry Milk

Decreasing

Good

Lower

Whey, Dry

Decreasing

Good

Lower

Class I Milk Base

Increasing

Good

Lower

Class II Cream (Heavy Cream)

Steady

Good

Lower

Class III Milk- CME

Decreasing

Good

Lower

Class IV Milk- CME

Steady

Good

Lower