# Milk supplies are getting a little tight

> CoBank's Corey Geiger reports that spot Class III milk in the Upper Midwest averaged $2.63 per cwt over class, the highest midpoint since February 2019, with some trades reaching $3.50 the week before. Milk production has been down for 13 straight months, and August Class III futures closed at $20.66 on August 23.

- Date: 2024-08-26 · published 2024-08-26T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/28950-milk-supplies-are-getting-a-little-tight
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Premiums above Class III signal tight raw milk supply and strong processor demand, which supports dairy prices and the feed demand that depends on them.

## Read by commodity

- MILK: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2024-09-09 | 5 | +12.1% | 3.3 | Spot milk at the highest premium over class since 2019 and 13 straight months of lower production show tight supply underpinning the rally. |

## Sources

- hoards.com: https://hoards.com/article-35515-Milk-supplies-are-getting-a-little-tight.html

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