# Dairy product prices rally as whole milk powder soars | BusinessDesk

> The GDT price index rose 11.4% to US$3,327 per tonne, its sixth rise in seven auctions, led by a 19.8% jump in whole milk powder. The move followed Fonterra's forecast of a 6.8% lower 2016-17 New Zealand milk volume.

- Date: 2016-11-01 · published 2016-11-01T12:00:00.000Z
- Category: market · region New Zealand · magnitude medium
- Page: https://feedsoft.ai/events/4650-dairy-product-prices-rally-as-whole-milk-powder-soars-businessdesk
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Lower New Zealand milk volumes reduce global dairy supply, pushing up dairy ingredient prices and supporting milk price expectations.

## Read by commodity

- MILK: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2016-11-03 | 1 | +11.9% | 9.8 | The GDT index jumped 11.4% led by a 19.8% surge in whole milk powder after Fonterra's lower supply forecast, a global dairy price signal that lifts sentiment and Class III values. |
| MILK | 2016-11-07 | 5 | +14.8% | 3.9 | The GDT index rose 11.4% after Fonterra's lower NZ volume forecast, a global supply-driven price signal that lifted sentiment in US dairy futures. |

## Sources

- businessdesk.co.nz: https://www.businessdesk.co.nz/news/dairy-product-prices-rally-as-whole-milk-powder-soars/UFHVW3BCWNIGBL3M3E54BITB2E/

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