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The all-milk price forecast for 2018 held at $16.05 and USDA's range is $15.75 to $16.35. Milk-feed margins continued to tighten, with a 2.19 ratio for January versus 2.71 a year earlier, and Dean Foods lost farms in the Southeast and Northeast.
Tighter milk-feed margins and ample milk supply could slow dairy herd expansion and reduce feed demand per cow, a mildly bearish signal for feed ingredients.
hoards.comCorey GeigerMar 25, 2018After 49 past bearish macro events, Milk (Class III) moved a median -0.6% over 5 sessions (33% higher; middle half -8.5% to +0.6%), and -7.5% over 20.
After 78 past neutral macro events, Corn moved a median +0.3% over 5 sessions (55% higher; middle half -1.1% to +1.6%), and -0.6% over 20.
After 73 past neutral macro events, Soybean Meal moved a median -0.3% over 5 sessions (44% higher; middle half -1.9% to +2.1%), and -1.6% over 20.
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.
