MD_DA431
DA
MD DA431 BUTTER - CENTRAL 

MADISON, WI. July 19, 2017 (Report 29)

Butter manufacturing is at seasonal levels as a few plants churn at higher 
rates than other facilities, encouraged by readily available cream supplies. 
Cream multiples range 1.20 to 1.32. Producers' butter stocks, in general, 
are in balance. In addition, some butter suppliers are indicating that their 
bulk inventories are in good shape for impending fall needs. Bulk butter 
sales range 3-7 cents over the CME average. Overall, domestic interest for 
butter is steady and sales remain steady, with retail ads moving slightly 
higher in some areas this week. As a few suppliers look ahead, expectations 
are that milkfat shortages in Europe will track butter prices to $3.00 by 
the year's end. The current undertone suggests a resilient market as CME 
butter prices trend upward. Wednesday at the CME Group, Grade AA butter 
closed at $2.6325, up $0.0475 from last Wednesday. DMN National Retail 
Report-Dairy for July 14-20 noted the national weighted average advertised 
price for a 1 pound package of butter is $2.91, $0.44 below one week ago and 
$0.14 below one year ago. The weighted average regional prices in the 
Midwest and South Central were $2.70 and $2.49, respectively. Prices 
declined 3 cents in the Midwest and 38 cents in the South Central compared 
to the previous week.


1530CT daniel.johnson@ams.usda.gov (608)422-8605
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-
home