# Dairy prices make soft start to 2017 amid supply boost | Business News - The Indian Express

> The Global Dairy Trade price index fell 3.9% at the first auction of 2017, to an average of $3,463 per tonne. Whole milk powder dropped 7.7% after Fonterra announced a 5% production increase, and buyers were scarce.

- Date: 2017-01-03 · published 2017-01-03T12:00:00.000Z
- Category: market · region Global · magnitude medium
- Page: https://feedsoft.ai/events/11535-dairy-prices-make-soft-start-to-2017-amid-supply-boost-business-news-the-indian
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Extra milk powder supply met thinner bidding, which pressures global milk powder and milk prices lower. The drop tempers the 50% rally of 2016.

## Read by commodity

- MILK: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2017-01-06 | 1 | -4.5% | -3.2 | GDT index fell 3.9% as Fonterra signaled 5% higher production and buyers were scarce, pointing to global supply pressure that can spill into US dairy futures. |

## Sources

- indianexpress.com: https://indianexpress.com/article/business/world-market/dairy-prices-make-soft-start-to-2017-amid-supply-boost-4457873/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.