# Dairy product prices jump as global milk output eases | BusinessDesk

> Dairy product prices rose more than expected at the August 2 Global Dairy Trade auction. The GDT index rose 6.6% to an average of US$2,436 per tonne, and whole milk powder jumped 9.9% to US$2,265 per tonne. Analysts said milk production is slowing globally, with lower EU output and returns.

- Date: 2016-08-02 · published 2016-08-02T12:00:00.000Z
- Category: trade · region Global · magnitude medium
- Page: https://feedsoft.ai/events/6032-dairy-product-prices-jump-as-global-milk-output-eases-businessdesk
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Slowing global milk output and a strong auction lift dairy prices, which can raise costs for dairy-derived feed and signal firmer milk returns.

## Read by commodity

- MILK: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2016-08-04 | 1 | +11.5% | 5.5 | The Aug 2 GDT auction jump (index +6.6%, WMP +9.9%) with slowing global milk output signaled tighter supply and lifted global dairy sentiment, supporting US Class III futures. |
| MILK | 2016-08-08 | 5 | +12.3% | 3.9 | The 6.6% GDT index jump and 9.9% WMP gain on Aug 2 signaled a global dairy price rebound and slowing supply, lifting sentiment and US Class III futures. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2017-03-07 | [Dairy producers buying cheese to bolster milk prices - Brownfield Ag News](https://feedsoft.ai/events/72156-dairy-producers-buying-cheese-to-bolster-milk-prices-brownfield-ag-news.md) | -1.3% | -0.5% |
| MILK | 2016-08-02 | [Milk prices lift as dairy commodity markets rally](https://feedsoft.ai/events/6034-milk-prices-lift-as-dairy-commodity-markets-rally.md) | +12.3% | +10.9% |
| MILK | 2020-08-05 | [Restrained Milk Production Bodes Well For Prices, Exports - EDairy News English](https://feedsoft.ai/events/8834-restrained-milk-production-bodes-well-for-prices-exports-edairy-news-english.md) | -21.0% | -19.2% |
| MILK | 2016-08-02 | [Strong increase in dairy prices at latest Global Dairy Trade auction - Agriland.ie](https://feedsoft.ai/events/6036-strong-increase-in-dairy-prices-at-latest-global-dairy-trade-auction-agriland-ie.md) | +12.3% | +10.9% |
| MILK | 2019-11-05 | [Chinese dairy consumption is driving world milk prices higher](https://feedsoft.ai/events/10246-chinese-dairy-consumption-is-driving-world-milk-prices-higher.md) | -0.1% | -4.2% |

## Sources

- businessdesk.co.nz: https://businessdesk.co.nz/article/dairy-product-prices-jump-as-global-milk-output-eases

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