MD_DA410
DA
MD DA410 BUTTER - NORTHEAST 

MADISON, WI.   September 23, 2015 (Report 38)   
 

NORTHEAST BUTTER:   

Processors report that cream availability is not as strained, which has 
led to a slight uptick in churning rates. However, with increasing butter 
orders, surplus cream in significant volumes can be a challenge to find 
by manufacturers. Inventories are sufficient. The current bulk butter 
prices for domestic sales are reported 5-7 cents over the market of the 
CME Group, with various time frames and averages used. The rise in butter 
prices at the CME Group has surpassed the expectations of some. 
Manufacturers are contemplating the overall impact, as import demand and 
the competitive gap between domestic butter price builds. The market 
undertone is firm. According to the DMN National Retail Report-Dairy, for 
September 18-24, the U.S. weighted average advertised price for 1 pound 
butter is $3.40, down 2 cents from a year ago but up 43 cents from the 
previous week. The Northeast average butter price is $3.44, up 36 cents 
from last week. The Southeast price averaged $3.02, up 2 cents from a 
week ago. At the CME Group, Grade AA butter closed Tuesday at $2.8325, up 
$0.2375 from a week ago. The CME weekly average butter price has steadily 
trended higher since mid-July.
COLD STORAGE:  According to NASS, U.S. butter in storage on August 31, 
2015 totaled 209.3 million pounds, 21% above a year ago but 18% less than 
last month.    


1100CT Daniel.Johnson@ams.usda.gov 608.557.7006
USDA/AMS/Dairy Market News, Madison, Wisconsin
Dairy Market News website: http://www.ams.usda.gov/market-news/dairy
Dairy Market News database portal: http://www.marketnews.usda.gov/mnp/da-
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