During the early part of what would be a holiday-shortened trading week, dairy commodities were posting gains in the spot market on the Chicago Mercantile Exchange.
On Tuesday of this week, Cheddar cheese blocks picked up 1.5-cent per pound during a market day with two carload sales and an unfilled bid to buy one carload to close at $1.8650 per pound. Cheddar cheese barrels gained 2.25 cents to close at $1.77 per pound as a result of unfilled bid to buy one carload.
The AA butter spot market was also active but the price held at $1.6650 per pound. The market activity on Tuesday was three carload sales and an uncovered offer to sell one carload.
For the first time since October of 2007, spot market prices for non-fat dry milk hit $2 per pound. This happened on Tuesday of this week as the price picked up 1.5 cent for Grade A, putting it at $2 at the end of a market day with two carload sales and an unfilled bid to buy one carload. The Grade Extra price remained at $1.9750 per pound as one bid was placed.
Futures market prices for dry whey dipped a bit for December on Tuesday but posted gains for several months of 2014. Late in the day's trading session, prices ranged from 58.675 cents per pound for December 2013 to 50.025 cents for December of 2014 before slipping into the low 40s per pound at the start of 2015.
Class III milk futures showed a bit of strength for nearby months in recent trading sessions. Trading prices on Tuesday afternoon included $18.80 per hundred for November, $18.26 for December, $17.59 for January 2014, and in the lower $17s and very high $16s per hundred for the remaining months of 2014.
The Class I fluid milk national base price for December is $20.37 per hundred. This is an increase of 17 cents from November.
On Tuesday afternoon of this week, Cooperatives Working Together announced the receipt of a total of 38 bids for price assistance on the export of 9.76 million pounds of Cheddar, Gouda, and Monterey Jack cheese and 3.003 million pounds of butter. The receiving buyers are in Europe, Asia, Central American, North Africa, and the Middle East.
Placing the bids for deliveries ranging from late November to May of 2014 were Bongard's Creamery, Dairy Farmers of America, Darigold Cooperative, Foremost Farms USA, the Maryland and Virginia Milk Producers Cooperative, and Upstate Niagara O-AT-KA.
Within the coming week, the all-milk price estimate and the Class III cash price will be announced for milk shipped in November.