MARKETING

StoneX Dairy Group says the GDT 80 percent butterfat butter price equates to $2.1782 per pound U.S., up 7.8 cents, after gaining 13.1 cents on Feb. 7, and compares to Chicago Mercantile Exchange butter which closed Feb. 24 at a pricey $2.43. GDT cheddar, at $2.3068, was up 4.8 cents, and compares to Feb. 24’s CME block cheddar at a bargain $1.88. GDT skim milk powder averaged $1.2559 per pound, down from $1.2834, and whole milk powder averaged $1.4806 per pound, down from $1.5101. CME Grade A nonfat dry milk closed Feb. 24 at $1.2150 per pound.

U.S. dairy margins were relatively flat over the first half of February with limited price movement in the milk and feed markets, according to the latest Margin Watch from Chicago-based Commodity and Ingredient Hedging LLC.

“While milk price changes have been limited,” the Margin Watch said, “There has been some discrepancy between classes as Class III has been moving lower while Class IV prices have been increasing and are up around $1.00 per cwt. since the beginning of the month. The rebound in spot butter helped support Class IV milk, with cash butter up 15.25 cents since the end of January. Block and barrel cheese prices have been moving sideways to offer limited direction to Class III. The recent weakness in milk prices combined with sky-high feed