Loading…
USDA's monthly milk production report showed May output at a record 20.6 billion pounds, up 2% year over year, and year-to-date output up 3%. Class III futures have hit fresh contract lows for July delivery after trading near $19 earlier in the year.
Record output keeps cheese and dairy product prices under pressure, a bearish signal for milk prices. A shrinking replacement-heifer pipeline could eventually cap production growth.
traderphd.comDawson SchmittJun 29, 2026After 273 past bearish report events, MILK moved a median -0.2% over 5 sessions (39% higher; middle half -1.3% to +0.4%), and -1.4% over 20.
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.
Record May milk output (+2% y/y) reported just before the move pressured Class III futures to fresh contract lows, a supply-driven sell-off.
