MD_DA210                                                                                  
DA                                                                                        
MD DA210 Fluid Milk and Cream Review - East                                               

MADISON, WI.  November 16, 2016 (REPORT 46)                                               


EAST FLUID MILK AND CREAM REVIEW                                                          
                                                                                          
FLUID CREAM AND CONDENSED SKIM PRICES IN TANKLOT QUANTITIES:                              
SPOT PRICES OF CLASS II CREAM, DOLLARS PER LB. BUTTERFAT:                                 
  F.O.B. producing plants:  Northeast -  2.6130-2.8065                                    

PRICES OF CONDENSED SKIM, DOLLARS PER LB. SOLIDS, F.O.B. PRODUCING 
PLANTS:                
Northeast - Class II - includes monthly formula prices -   .83-1.01                       
Northeast - Class III - spot prices -   .88-1.08                                          

SPOT SHIPMENTS OF GRADE A MILK INTO OR OUT OF FLORIDA                                     
AND OTHER SOUTHEASTERN STATES                                                             
                                                                                          
                        THIS WEEK   LAST WEEK   LAST YEAR                                 
                        IN    OUT   IN    OUT   IN    OUT                                 
                                                                                          
FLORIDA                  0     7    10     0   123     0                                  
SOUTHEAST STATES         0     0     0     0     0     0                                  

While milk production is steady at seasonal levels, manufacturing milk 
supplies in the Northeast and Mid-Atlantic regions are mixed with most 
supplies somewhat balanced. Class I and Class II demand is mostly 
steady. Balancing plants in the region are preparing for heavier 
holiday milk intakes. The Southeast is seeing stronger milk production 
prompted by cooler temperatures, especially in areas of the deeper 
South. Over the past weekend, bottling sales dropped off, but have 
picked back up this week as handlers note a number of add-ons. Class 
II sales are strong. Not much milk is moving into manufacturing.
In Florida, the weather has cooled down with nights in the high 50s 
and days in the 70s. Accordingly, milk production is seeing a steady 
rise. Sales to bottling increased as anticipated. The change in milk 
production levels led to export milk shipments this week, totaling 7 
f.o.b. spot loads. Tight cream supplies, prompted by active Class II 
production and export sales, pushed multiples higher in the East. This 
week, cream multiples range 1.35-1.45, a slight increase on both ends 
of the spectrum. Sources expect availability to build prior to the 
Thanksgiving holiday. The CME Group saw the Grade AA butter price 
close Wednesday at $2.0300, up $0.1200 from a week ago. Condensed skim 
supplies continue to move primarily through contracts. Spot 
availability is often sporadic. Loads typically move flat to 20 over 
for Class II and III. Some operations are drying condensed skim 
heavily. According to the DMN National Retail Report-Dairy, November 
11-17, 2016, the U.S. weighted average advertised price for a gallon 
of milk was $2.57, up 41 cents compared to last week and up 12 cents 
from the previous year. The national weighted average price for eggnog 
in the half gallon container was $3.35, 24 cent lower than the 
previous week, and 14 cents lower than last year. The volume of retail 
1# butter ads increased significantly over the previous week.


1300CT Daniel.Johnson@ams.usda.gov 608.557.7006
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