# Can Dairy Markets Absorb Another Year of Fast Supply Growth

> StoneX analyst Nate Donnay says global milk production grew about 5.5% in September and October, roughly three times its normal pace. Processors and buyers could not absorb the added supply, driving broad price weakness and downside risk for early 2026.

- Date: 2025-12-30 · published 2025-12-30T12:00:00.000Z
- Category: market · region Global · magnitude medium
- Page: https://feedsoft.ai/events/9573-can-dairy-markets-absorb-another-year-of-fast-supply-growth
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Oversupply of milk and dairy products is pressuring farmgate and wholesale prices, which lowers demand for dairy-linked feed and supports a bearish dairy outlook into 2026.

## Read by commodity

- MILK: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| MILK | 2025-12-31 | 1 | -4.2% | -3.6 | StoneX highlights global milk supply growing about three times its normal pace, with downside price risk into early 2026, which weighs on sentiment and futures. |

## Sources

- stonex.com: https://www.stonex.com/en/insights/can-dairy-markets-absorb-another-year-of-fast-supply-growth/

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