# Trade jitters pushed GDT down

> The Global Dairy Trade index fell 5% at the latest auction, its largest one-auction drop in 15 months. Analysts blamed international trade concerns, and whole milk powder fell 7.3% to $2,905 per tonne.

- Date: 2018-07-05 · published 2018-07-05T12:00:00.000Z
- Category: trade · region Global · magnitude medium
- Page: https://feedsoft.ai/events/4972-trade-jitters-pushed-gdt-down
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Trade uncertainty weighed on global dairy demand and lowered forward contract prices for milk powder. Lower milk powder prices reduce farmgate milk returns in exporting regions.

## Read by commodity

- MILK: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2018-07-05 | 1 | -5.8% | -7.9 | The 5% GDT drop (reported around July 3-5) with weak whole milk powder signaled softer global demand and weighed on US dairy sentiment. |
| MILK | 2018-07-10 | 5 | -7.1% | -3.1 | The largest one-auction GDT drop in 15 months on trade worries signaled weaker global demand and price direction, weighing on US dairy futures. |
| MILK | 2018-07-09 | 5 | -7.0% | -3.2 | Analysts attributed the GDT decline to trade concerns, reinforcing bearish sentiment in dairy markets. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2018-12-03 | [Trade war pushes milk price to 4-year low](https://feedsoft.ai/events/5422-trade-war-pushes-milk-price-to-4-year-low.md) | -5.6% | -4.5% |
| MILK | 2018-07-02 | [Trade dispute causes dairy prices to tumble](https://feedsoft.ai/events/4969-trade-dispute-causes-dairy-prices-to-tumble.md) | -7.3% | -7.5% |
| MILK | 2018-09-04 | [2018 Dairy Outlook: Feed volumes hinge on trade, consumers \| Feed Strategy](https://feedsoft.ai/events/8378-2018-dairy-outlook-feed-volumes-hinge-on-trade-consumers-feed-strategy.md) | -1.6% | -2.5% |
| MILK | 2020-01-04 | [US dairy farmers battle extinction Trump trade wars lower milk prices](https://feedsoft.ai/events/4661-us-dairy-farmers-battle-extinction-trump-trade-wars-lower-milk-prices.md) | +0.6% | +0.6% |
| MILK | 2018-07-29 | [California farmers and Mexican cheese sales, U.S. trade war takes a toll](https://feedsoft.ai/events/64179-california-farmers-and-mexican-cheese-sales-u-s-trade-war-takes-a-toll.md) | +5.2% | +6.3% |

## Sources

- farmersweekly.co.nz: https://www.farmersweekly.co.nz/news/trade-jitters-pushed-gdt-down/

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