MD_DA410
DA
MD DA410 BUTTER - NORTHEAST 

MADISON, WI.   July 27, 2015 (Report 30)   


NORTHEAST BUTTER:   

Butter plants are focusing production efforts on filling current 
needs. Industry sources note declines in output as milk intakes move 
marginally lower. Suppliers' cream volumes are readily available. 
However, the market expects falloff in availability due to the effect 
of widespread heat waves covering the Eastern region. Domestic demand 
for butter is fair, with steady orders from private labels. Some 
manufacturers are seeing strong fall purchasing from retail and food 
service customers. Export butter demand is sluggish and significantly 
lags May 2015 year-to-date transactions. Inventoried butter volumes 
are sufficient. Producers are content with the volume of stocks for 
third and fourth quarter needs. The market undertone is mixed. The 
Northeast cash price for bulk butter is market to 8 over, based on the 
CME Group, with various time frames and averages used. The butter 
market has a mixed undertone, as prices fluctuate. According to the 
DMN National Retail Report-Dairy, for July 22-28, this week's national 
weighted average advertised price for 1-pound butter is $3.07, up 2 
cents from last week, but down 22 cents from the previous year. The 
Northeast regional price is $3.33 up 2 cents from the previous week. 
Tuesday's CME Group cash trading saw Grade AA butter close at $2.2475, 
down $0.0475 from a week ago. 
COLD STORAGE:  According to NASS, U.S. butter in storage on June 30, 
2016 totaled 326.0 million pounds, 27% above a year ago, but unchanged 
from the previous 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-home