MD_DA410
DA
MD DA410 BUTTER - NORTHEAST 

MADISON, WI.   December 16, 2015 (Report 50)   


NORTHEAST BUTTER:   

Northeast butter output is steady to lower. Some butter operations that 
were active last week avoided churning cream this week. Manufacturers are 
not eager to churn without sales being finalized. Notably, most butter 
manufacturers are considering what's ahead, in anticipation of surges in 
next week's milk receipts. Higher churning rates are foreseen, which will 
likely add to yearend butter inventories. Fresh butter is available and 
frozen supplies are ample to meet any need. Due to the lower multiples, 
this may be the last week some producers microfix butter orders. In lieu 
of microfixing, those manufacturers would be encouraged to buy cream for 
churning, if needed, to fulfill butter needs. The market undertone is 
steady to weak. This week, bulk butter prices for domestic sales are flat 
market to 5 over the market of the CME Group, with various time frames 
and averages used. According to the DMN National Retail Report-Dairy, 
during the week of December 11-17, 2015, the U.S. weighted average 
advertised price for 1 pound butter was $3.19, down 13 cents from a year 
ago, and down 10 cents from the previous week. The Northeast average 
butter price was $3.53, up 11 cents from last week. At the CME Group 
Grade AA butter closed Tuesday at $2.0700, down 77 cents from last 
Tuesday.

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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