Daily Market Update
- Second-quarter CME Group Class III milk futures strengthened with support from increases in the CME cash cheese markets. Despite today's strength, the second-quarter CME Class III milk futures average has decreased 31 cents per hundredweight since last Friday.
- Supported by a stronger CME cash butter market, April CME butter futures increased more than 2 cents per pound. On this date in 2016, the CME cash butter market settled at $1.94, 19 cents per pound lower than today's settlement.
- The spread between CME Class III milk futures and the DFA Risk Management feed index for the second half of the year is $8.56 per hundredweight, down 23 cents from last week. Weaker CME Class III milk futures, in addition to slight increases in CME corn futures, factored into the weaker margin.
Grains and other markets
- CME corn futures strengthened slightly as market participants attempt to balance increasing demand for corn exports and ethanol with strong global corn production. December CME corn futures increased this week after experiencing significant declines since the beginning of March.
- CME soybean futures remain under pressure from growing global stocks. Reports indicate Brazil's soybean harvest is more than 50 percent complete. Since March 1, November CME soybean futures have declined nearly 37 cents to $9.93½ per bushel.