MD_DA810                                                         
DA                                                               
MD DA810 Cheese - Northeast                                      

MADISON, WI.  January 07, 2015 (REPORT 1)                        


NORTHEAST WHOLESALE CHEESE:                                      
                                                                 
Cheese production is active following the end of the New Year holiday 
period.  Milk supplies remain sufficient and continue to boost output 
rates, with most plants operating a 6-7 day production week.  Cheddar 
aging programs are steady and adding to inventories for later use.  The 
cheese market's undertone is unsettled.  Spot activity is limited.  Last 
week, the weekly average cheese prices on the CME Group saw declines for 
both blocks and barrels.  This week, wholesale prices for 40# block and 
muenster moved lower $0.0275, as process 5# sliced fell $.0175.  Grade A 
Swiss Cuts price dropped $0.0875, reflecting Class III price adjustments.   
The CME Group daily cash prices, on Tuesday, saw barrels close at $1.5400 
up $0.1125 from a week ago, while blocks closed at $1.5700, up $0.0500 
from a week ago.  The December 2014 CME Group monthly average cheese 
price for blocks is $1.5938, compared to $1.9431 one year ago; the 
barrels average is $1.5305 compared to $1.8651 one year ago.
DAIRY PRODUCTS:  According to NASS, U.S. total cheese production in 
November 2014 was 948.7 million pounds, 2.9% more than a year ago but 3.3 
less than the previous month.  In the Atlantic region, total cheese 
production for November 2014 was 116.6 million pounds, 0.2% less than a 
year ago and 7.9% less than the previous month.  The region produced 12% 
of U.S. cheese in November.  Total cheese production and percent changes 
from one year ago are the following: New York 66.8 million pounds, 
+0.7%; Pennsylvania 32.3 million pounds, +1.0%; Vermont 10.6 million 
pounds, +11.3%.  

WHOLESALE SELLING PRICES: DELIVERED,                             
DOLLARS PER POUND (1000 - 5000 POUNDS MIXED LOTS)                
                                                                 
Cheddar 40# Block                            : 1.9300-2.2150     
Process 5# Sliced                            : 1.7050-2.1850     
Muenster                                     : 1.9500-2.3100     
Grade A Swiss Cuts 10 - 14#                  : 4.1050-4.4275     


1100CT Daniel.Johnson@ams.usda.gov 608.278.4156
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: www.ams.usda.gov/dairymarketnews
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-
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