MD_DA410
DA
MD DA410 BUTTER - NORTHEAST 

MADISON, WI.   February 2, 2017 (Report 05)   
 
NORTHEAST BUTTER: 

Cream supplies are readily available and churns are actively producing 
butter. As limited volumes of available cream clear into ice cream, 
and Class II processing in general, purchases of surplus cream by 
butter processors show substantial increases. Some manufacturers are 
rotating salted and unsalted production schedules as output adds to 
existing bulk stocks. The f.o.b. bulk butter price is reported 5 to 8 
cents over the market of the CME Group, with various time frames and 
averages used. Print butter interest is good, as sources report sales 
above previous year's level at this time. Traders are seeing more hand 
to mouth purchasing, as few buyers are willing to load up on butter 
now. As the CME butter echoes unseasonably strong prices, seemingly 
ignoring inexpensive cream, some market participants point to market 
uncertainty surrounding future pricing as the impetus for current 
market conditions. The butter market undertone is unsettled. Tuesday's 
CME Group cash trading saw Grade AA butter close at $2.2400, up 
$0.0225 from the previous Tuesday. The DMN National Retail Report-
Dairy, reports the January 27-February 2, 2017 national advertised 
weighted average price for 1-pound butter was $3.31, up 6 cents from 
last week, an increase of 39 cents from a year ago. The Northeast 
region's butter price was $3.37, up 26 cents from last week, with a 
price range of $2.48-$4.49.


1100CT daniel.johnson@ams.usda.gov 
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