# Eye on markets as reined-in supply vs. strong demand drive dairy higher | Ag Moos

> Dairy markets are rising as reined-in milk supply meets firm demand from pizza sales, retail, and government food box purchases. USDA's food box program has delivered 18.5 million boxes, and CFAP dairy payments reached $895 million by June 22. Analysts disagree on whether the rally will last, with some expecting milk expansion by fall.

- Date: 2020-06-23 · published 2020-06-23T12:00:00.000Z
- Category: market · region US · magnitude low
- Page: https://feedsoft.ai/events/52778-eye-on-markets-as-reined-in-supply-vs-strong-demand-drive-dairy-higher-ag-moos
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Government purchases and constrained supply are supporting milk prices now, but expected herd expansion and fading program demand could weigh on prices later in the year.

## Read by commodity

- MILK: bullish ▲

## Sources

- agmoos.com: https://agmoos.com/2020/06/23/eye-on-markets-as-reined-in-supply-vs-strong-demand-drive-dairy-higher/

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