MD_DA851 Cheese Highlights Report 36 - Released on September 4, 2020 Cheese market tones have rebounded with some virility in the past two weeks. Last week's announcement of continued governmental food box programs kicked already rebounding markets into another gear. Producers have reported in recent weeks that customers were a little more active, trying to get ahead of $2 block prices. As of Thursday, those $2 block prices came to fruition. CME barrel prices are also increasing, but remain notably lower than blocks. This scenario does give contacts concern, as what many consider a healthy market tone is a narrower block to barrel price gap. The spot milk price range narrowed this week, from $4 under to Class. Reported spot milk purchases were markedly quieter this week, ahead of the holiday. Last year, during week 36, spot milk prices were $.50 under to $1 over Class. One distinct factor in the variance from last year to this year is that milk clearing into Class I facilities is much lighter, as many students are starting their school year on a hybrid or completely virtual learning program. Regarding cheese availability, cheese stocks are moving briskly in most cases. Barrel producers in the West and Midwest suggest their stores are a little heavier than a few weeks ago, but the recent boost in demand may have cheesemakers of all varieties trying to keep up with orders. Information for the period August 31 - September 4, 2020, issued weekly Secondary Sourced Information: The weekly average price for CME barrels is $1.5575, compared to $1.4145 last week. CME blocks’ weekly average is $1.9375, compared to $1.8250 last week. Published by: Dairy Market News - Madison, WI ISRAEL WEBER, 608-422-8601 Email: israel.weber@usda.gov Additional Dairy Market News Information: Dairy Market News (DMN) by Phone: (608)422-8602 DMN Website: https://www.ams.usda.gov/market-news/dairy DMN MARS (My Market News): https://mymarketnews.ams.usda.gov