Loading…
Class III milk futures fell about $3 as USDA's May Milk Production report showed U.S. output up 2.3% year over year. The dairy herd rose to a record 9.665 million head, and production per cow kept climbing.
Rising cow numbers and per-cow output are outpacing demand, which pressures cheese, butter and milk powder prices and Class III milk values that feed dairy margins and feed demand.
farmprogress.comJul 1, 2026After 273 past bearish report events, Milk (Class III) moved a median -0.2% over 5 sessions (39% higher; middle half -1.3% to +0.4%), and -1.4% 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.
Same-day USDA May Milk Production report showed output up 2.3% y/y and a record herd, a bearish supply shock that directly explains the roughly $3 drop in Class III futures.
Describes a roughly $3 drop in Class III futures tied to the USDA production report showing a record herd and higher yields, which fits the size of the move, though it is dated after 2026-06-30.
