MD_DA650                                                                        
DA                                                                              
MD DA650 Nonfat Dry Milk - Central and East                                     

MADISON, WI.  June 01, 2017 (REPORT 22)                                         

NONFAT DRY MILK - CENTRAL AND EAST                                              
                                                                                
CENTRAL: Central low/medium heat nonfat dry milk (NDM) prices increased on 
the price range and mostly price series. The low/medium heat NDM spot market 
was active, although slightly slower than in previous weeks. Some contacts 
believe with inventories available and production ongoing, low/medium heat 
NDM prices are near their peak. Other contacts suggest buyers are willing to 
take on spot loads at current prices, as exports of low/medium heat NDM are 
reportedly increasing and futures markets hover near to over $1.00. 
Low/medium heat NDM inventories are adequate. The low/medium heat NDM market 
tone is mixed. High heat NDM prices increased on the bottom of the price 
range. Spot market trading of high heat NDM was light. High heat NDM 
production and inventories vary, but remain adequate for contractual 
obligations. 
EAST: Prices for low/medium nonfat dry milk shifted upward on both ends of 
the range and mostly price series this week. With U.S. low/medium heat NDM 
prices below the global market, and stable domestic trading activity, prices 
look to be firming. Some participants are being quoted low/medium heat NDM 
extended contracts at higher prices. On the other hand, a number of market 
participants have seen light trading and some prices reflect mild demand. A 
few buyers are in a wait and see approach to the low/medium heat NMD 
pricing. Production is strong as manufacturers are operating dryers on heavy 
schedules. Inventories are manageable to long. The market undertone is 
mixed. High heat NDM prices remained steady this week. Production continues 
to be limited, as low/medium heat NDM is the main focus for drying. 
Inventories are light to adequate. The market tone is firming. Wednesday's 
CME Group cash trading for Grade A nonfat dry milk closed at $0.9550, up 
$0.0275 from last Wednesday. 

F.O.B. CENTRAL/EAST:  Includes EXTRA GRADE and GRADE A                          
LOW/MEDIUM HEAT:   .8700 - .9800          MOSTLY:   .8900 - .9300               
HIGH HEAT:         .9900 - 1.1000                                               
                                                                                

1100CT Jessica.Mueller@ams.usda.gov 608.422.8589 
Israel.Weber@ams.usda.gov 608.422.8601
USDA/AMS/Dairy Market News, Madison, Wisconsin 
Dairy Market News website: http://www.ams.usda.gov/market-news/dairyy
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-
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