# Early Morning Update - May 2, 2024

> Class III and cheese prices finished mostly lower Wednesday after Tuesday's rally, with spot cheese weak and block cheese reaching a 2024 high of 1.7650. Analysts said short-term weakness in Class III futures was likely, though demand sentiment was improving.

- Date: 2024-05-02 · published 2024-05-02T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/4265-early-morning-update-may-2-2024
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Softer spot cheese and Class III prices point to lower dairy product values near term, which weighs on milk price expectations. Improving demand sentiment limits the downside.

## Read by commodity

- MILK: neutral

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2024-05-02 | 5 | +18.6% | 4.4 | Block cheese reached a 2024 high after Tuesday's rally, confirming that cheese strength drove Class III up, although the report also flags short-term weakness. |
| MILK | 2024-05-06 | 5 | +18.7% | 4.2 | Block cheese reached a 2024 high of 1.7650 after a Tuesday rally, and improving demand sentiment shows the cheese-driven strength behind the Class III move, even though there was short-term pullback. |

## Sources

- stonex.com: https://www.stonex.com/en/insights/early-morning-update---may-2,-2024-1494700/

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