Cheese production is 'robust' this week, reports USDA
Butter prices dipped under the $1.40 level for the first time since February 2012, reports Dairy Market News, Fitchburg, Wis. Cheese production across the country is robust and fluid milk processors are operating plants on extended schedules. Nonfat dry milk prices declined as the market tone moved weaker, undercut by strong production in all regions of the country, according to the U.S. Department of Agriculture.
BUTTER HIGHLIGHTS. The CME Group cash butter price dipped under the $1.40 level for the first time since February 2010 and closed the week at $1.3600. This weekly close compares to $1.4175 last Friday, $1.5225 a month ago, and $2.0150 a year ago. Butter producers and handlers are indicating that buying interest is fair at best with most buyers cautious with their purchases and procuring for near term needs. Retailers are stating that butter feature activity has slowed significantly since the recent holiday period and overall butter demand is typical for this time of the year. Food service buyers are reporting fairly steady needs as traffic flow through restaurants is holding steady at fairly good levels.