NEWS
DTN Closing Dairy Comments
Robin Schmahl DTN Contributing Analyst
Fri Nov 30, 2012 04:17 PM CST
Milk

Overall, Class III contracts fared well for the week with contracts other than December finishing higher than they began this week. This was possible because of the discount the market already held in comparison to the underlying cash. The supply/demand balance is good, but continued declining cash prices may tighten milk supply. The corresponding milk prices are not looking very good for the foreseeable future. This may push more dairy farmers out of business, resulting in lower milk production and eventually supply. November corn and soybean prices declined from October while the All-milk price improved. This allowed the milk/feed ...

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