◂ Event Timeline

Jun 26, 2017REPORTUS

Cheese inventory hits record; fluid milk consumption takes another hit

Preliminary USDA data showed US May milk output at 18.9 billion pounds, up 1.8% from May 2016, with cow numbers at 9.39 million. Cheese inventories reached a record and fluid milk consumption declined again.

Texas output rose 14.7% while California fell for a fifth straight month.

WHY IT MATTERS

Rising US milk output and record cheese stocks point to softer dairy prices and steady demand for dairy-based feed ingredients.

AFFECTSMilk (Class III)▼

SOURCE
leadertelegram.comLee MielkeJun 26, 2017

Price reaction & history

Milk (Class III)▼bearishSO FAR1d 0.0%5d -3.9%20d -5.2%

After 273 past bearish report events, Milk (Class III) moved a median -0.2% over 5 sessions (39% higher; middle half -1.3% to +0.4%), and -1.4% over 20.

Apr 17, 2017Cheesemakers cancel downtime as surplus milk flows in | Dairy | leadertelegram.com-0.2%
Sep 25, 2017Bearish milk supply nudges more cows into ‘retirement’ | Dairy | leadertelegram.com+0.1%
Sep 18, 2017Milk production estimates raised on milk-per-cow growth | Dairy | leadertelegram.com+0.9%
Apr 30, 2018Milk output continuing to climb but appears to be slowing | Dairy | leadertelegram.com+4.1%
Apr 11, 2025USDA Hikes 2025 Milk Production Forecast, Lowers Dairy Product Price Forecasts - Cheese Reporter+0.8%

Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.

Linked price moves

Milk (Class III)-3.2%1 period to Jun 28, 2017-3.4σ
USDA data showing May milk output up 1.8% and record cheese inventories signal ample supply and weak demand, which is bearish for cheese-driven Class III prices.

Milk (Class III) MILK · GP ▸

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