Loading…
The Global Dairy Trade auction index fell 3% to $US2,880 per tonne, its first drop since July after a series of strong gains. Whole milk powder fell nearly 4% to $US2,681.
Fonterra said the broader trend still points to higher prices because global production is declining.
A one-off auction dip against a broader supply-driven uptrend means global dairy prices are likely to stay volatile, with limited near-term effect on feed demand.
rnz.co.nzTe Reo Irirangi o AotearoaOct 4, 2016Not enough comparable past events yet for a historical read.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
The 3% drop in the Global Dairy Trade index on Oct 4, with whole milk powder down nearly 4%, signaled weaker global demand and pressured US dairy futures sentiment shortly before the move.
A 3% drop in the GDT index (whole milk powder down ~4%) weakened global dairy price sentiment and export demand outlook, though it came before the window start.
