Market Monitor – August 24, 2023

CME Blocks Gain 5.5 Cents

Spot blocks jumped to $1.9450 per pound, $0.0550 higher, with three lots trading. Barrels eased to $1.8000 per pound, giving up a half cent, with four loads changing hands.

Fourth quarter Class III futures climbed to $18.18 per hundredweight, adding 30 cents.

Fourth quarter “all cheese” contracts advanced to $1.9007 per pound, up $0.0270.

Spot butter was unchanged at $2.7050 per pound, with zero lots exchanged.

September butter futures slipped to $2.6950 per pound, down $0.0277.

Spot NDM held steady at $1.0950 per pound, with no loads trading.

The September NDM contract dipped to $1.1175 per pound, shedding $0.0025.

Spot dry whey remained at $0.2600 per pound, with zero lots changing hands.

September dry whey futures rose to $0.2785 per pound, adding $0.0048.

The September corn contract eased to $4.7225 per bushel, losing four cents. September soybean futures climbed to $13.6575 per bushel, gaining $0.0625.

FROM THE TRADING DESK: With spot blocks moving higher today, Class III and “all cheese” futures rebounded, too. But the settlements were in familiar territory. Since the beginning of August, fourth quarter futures have traded within a narrow range – $17.80 to $18.40 per hundredweight for Class III and $1.87 to $1.92 per pound for “all cheese.” After approaching the bottom end of the range yesterday, futures rebounded back to the middle of the range – $18.18 for Class III and $1.90 for cheese.