# Dairy Demand Comes to Life, Pushes Prices Higher

> Butter and block cheese prices broke out of multi-month trading ranges in mid-August, with block cheese reaching $2.10, its highest since March 2023. Spot milk is trading at Class III plus up to $2.00 as schools pull milk for bottling, and USDA cut its 2024 milk production estimate by 600 million pounds.

- Date: 2024-08-20 · published 2024-08-20T12:00:00.000Z
- Category: report · region US · magnitude medium
- Page: https://feedsoft.ai/events/28948-dairy-demand-comes-to-life-pushes-prices-higher
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

A reduced USDA milk production forecast combined with seasonal fall demand points to firmer dairy prices and tighter milk supply, which supports dairy-related feed demand.

## Read by commodity

- MILK: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2019-02-26 | [Higher dairy prices likely by the end of the year](https://feedsoft.ai/events/4487-higher-dairy-prices-likely-by-the-end-of-the-year.md) | +8.5% | +7.9% |
| MILK | 2018-06-01 | [Milk prices continue to climb higher](https://feedsoft.ai/events/9758-milk-prices-continue-to-climb-higher.md) | -1.0% | -2.1% |
| MILK | 2021-09-14 | [Declining Milk Production Leads to Higher Prices](https://feedsoft.ai/events/45215-declining-milk-production-leads-to-higher-prices.md) | +0.1% | +8.1% |
| MILK | 2019-12-06 | [Dairy prices reach highest levels in five years](https://feedsoft.ai/events/55737-dairy-prices-reach-highest-levels-in-five-years.md) | +0.3% | -12.4% |
| MILK | 2017-01-25 | [LIVESTOCK MARKETS: USDA forecasts higher dairy product prices](https://feedsoft.ai/events/73007-livestock-markets-usda-forecasts-higher-dairy-product-prices.md) | -0.1% | +0.5% |

## Sources

- dairyherd.com: https://www.dairyherd.com/markets/milk-prices/dairy-demand-comes-life-pushes-prices-higher

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