While the market for Class IV milk is still strong, the markets are signaling a retreat is near. The June USDA Announcement of Class and Component Prices report indicated the Class IV milk price falling more than $2 from the month prior, and while the Class III price also fell, the gap between the two is closing as the markets search for balance. June’s Federal Milk Marketing Order (FMMO) pooling estimates, uniform milk prices and producer price differentials (PPDs) will be r

Milk revenue over feed cost is at its highest margin since last September at $10.62 per hundredweight (cwt.), according to data from the Dairy Margin Coverage (DMC) program. Although feed costs were climbing due to conflict in the Middle East, the All-Milk price has made significant gains. This is especially true in the Class IV space, since the lows at the beginning of the year with strong milk and milk component production outpacing the rise in feed costs. The breakdown of

USDA Undersecretary for Trade and Foreign Agricultural Affairs Luke Lindberg says the U.S. agricultural trade picture is improving, pointing to a drop in the forecast ag trade deficit from about $50 billion to $29 billion. Lindberg says USDA now forecasts the deficit to fall 42% from where it started, with fiscal-year performance running even ahead of that pace. “Since October 1, this government fiscal year, we’re actually down 61% over last year,” he says. Trade Strategy Lin