MD_DA650                                                                        
DA                                                                              
MD DA650 Nonfat Dry Milk - Central and East                                     

MADISON, WI.  August 03, 2017 (REPORT 31)                                       

NONFAT DRY MILK - CENTRAL AND EAST 
                                             
CENTRAL: Low/medium heat nonfat dry milk (NDM) prices in the Central U.S. 
decreased on the top of the range, but held steady on the mostly price 
series. Spot trading activity remained moderate. Central contacts suggest 
buyers are exercising patience, and working through on-hand supplies 
before entering into the spot market. Low/medium heat NDM production is 
steady week over week, although some contacts suggest it is a bit slower 
as milk intakes have edged back. The low/medium heat NDM market undertone 
is fairly stable. High heat NDM prices remained steady. Spot sale trading 
of high heat NDM was quiet. Production and inventories of high heat NDM 
remain geared toward contractual obligations, but some fairly large 
volumes changed hands, suggesting some manufacturers are looking to 
reduce inventories. 
EAST: Low/medium heat nonfat dry milk (NDM) prices in the East slid down 
on the top of the range, but are unchanged on the mostly price series. 
Spot sales activity is moderate to minimal as many suppliers are offering 
readily available loads. A number of market participants are purchasing 
spot loads around the mostly series. As Eastern states are getting hit 
with hot weather and humidity, milk production is decreasing. Balancing 
plants are currently taking in lower milk volumes. A handful of 
manufacturers report low/medium heat NDM production slowed down this 
week. Inventories are manageable and are available. The market undertone 
is fair with views of softness as prices are staying around the low 
$.90's, and supplies are plentiful. Eastern high heat NDM prices are 
steady. Spot load transactions are light as many manufacturers are not 
offering high heat. Production is limited. High heat NDM inventories are 
in small measures. The market tone is generally stable.  

Wednesday's CME Group cash trading for Grade A nonfat dry milk closed at 
$0.8650, up $0.0050 from last Wednesday.
                                                                                
F.O.B. CENTRAL/EAST:  Includes EXTRA GRADE and GRADE A                          
LOW/MEDIUM HEAT:   .8500 - .9500          MOSTLY:   .8800 - .9200               
HIGH HEAT:        1.0000 - 1.0900                                               
                                                                                
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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