NEWS
DTN Closing Dairy Comments
Robin Schmahl DTN Contributing Analyst
Fri Dec 7, 2012 03:16 PM CST
Milk

Class III milk futures fell drastically this week. Traders gave up hope of a cash price rally and liquidated futures as barrel price weakened. It was as if they threw in the towel. Futures contracts fell further this week than they did other weeks when cash price declines were greater. The steep decline has set itself up for a significant price rally if cheese buyers and traders feel a bottom has been established. However, relatively strong milk production with decreasing demand will keep a lid on a price rally potential. The January milk futures contract was able to close ...

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