Global Dairy Trade Average Plunges 8.9%
Tuesday's (7/15/14) Global Dairy Trade (GDT) auction saw the weighted average for all products drop 8.9%, following the 4.9% decline in the last session. The price index has pretty much seen declines since reaching its high on February 4.
The downfall was led by a 10.9% plunge in whole milk powder, which was down 5.4% in the last event. Anhydrous milkfat was down 10%, following a 7.4% decline last time. Skim milk powder was down 7.1%, after a slippage last time of 0.9%. Rennet casein was down 8.9%, following a 2.1% drop in the last event. Cheddar cheese was down 1.6% after a 2.9% drop in the last session. GDT butter was down 1.1%, following the 13.6% plunge in the last event. Buttermilk powder was down 4.6%, after being up 4% last time.
FC Stone reports the average GDT butter price equated to about $1.4261/lb. U.S., down from $1.4427/lb. in the July 1 event ($1.3913/lb. on 80% butterfat, down from $1.4075/lb.). Contrast that to CME butter which closed July 15th at $2.39/lb. The GDT Cheddar cheese average was $1.8887/lb. U.S., down from $1.9170/lb. The U.S. block Cheddar CME price Tuesday is at $2.00/lb. GDT skim milk powder, at $1.5947/lb. U.S., is down from $1.7283/lb., and the whole milk powder average at $1.4009/lb. U.S., is down from $1.5690/lb. in the last event. The CME Grade A nonfat dry milk price today stands at $1.7350/lb.
Source: GDT & INTL FCStone