CME: Less Replacements in the Pipeline

US - Cheese buyers were more aggressive friday, acquiring 20 loads of barrels and six loads of blocks, pushing prices higher for the first time in three weeks, writes Alan Levitt.
calendar icon 30 January 2012
clock icon 1 minute read

Butter continued to slide. Milk futures were mixed friday and generally ended the week where they started. Contracts covering 2012 average $17.00, unchanged from last Friday. First-half contracts increased 4¢, second-half contracts dropped 4¢.

Butter, whey and NDM futures sold off this week. Butter dropped 4.9¢ in the 2012 contracts. The first half averages $1.5780, the second half averages $1.6625. Whey futures were hit the most in contracts for the second quarter. APR-JUN futures average 54.6¢, down 4.9¢ from a week ago. NDM futures for FEB-MAY average $1.36, down 3.3¢ from last week.

The biannual “Cattle” inventory report shows fewer replacement heifers in the pipeline. On Jan. 1, there were 4.53 million replacements, down from 4.57 million heifers a year ago, according to USDA’s report released this afternoon (see chart). There were 49.0 replacements for every 100 cows, down from 49.9 at the start of 2010.

NASS dairy product prices for the week ending Jan. 21: cheddar blocks $1.5899 (+1.75¢ vs. the prior week); barrels $1.6053 (-0.28¢); butter $1.5923 (+0.95¢); nonfat dry milk $1.3654 (-4.95¢); dry whey 71.13¢ (+0.92¢)

Further Reading

- You can view the full report by clicking here.

Daily Dairy Report - Copyright © 2008 CME. All rights reserved.

TheMeatSite News Desk
© 2000 - 2024 - Global Ag Media. All Rights Reserved | No part of this site may be reproduced without permission.