MD_DA851 Cheese Highlights Report 25 - Released on June 21, 2019 Cheese production is at full speed now. School hiatuses have diverted more fluid milk into Class III and other processing facilities in all regions. After weeks of historically puny Class III spot milk discounts, Midwestern prices reached $3 under Class this week. That said, most pricing fell closer to the $1 under Class point. More milk and active production will add to inventories, which contacts, even in the Western region, are stating are less abundant than they have been. There is no dearth of cheese, but any reports of tightening supplies are only positive for market conditions. Relatedly, block prices have remained strong, continuing their bullish trajectory. Meanwhile, barrels have vacillated since early May. This week, however, barrels have gained some on block prices and tightened the large price gap, while also broaching $1.70 for the first time in over five weeks. Current markets have cheese producers feeling a little less pressure, as buying interest has steadied and/or improved across the country. Market tones are cautiously optimistic. Information for the period June 17 - 21, 2019, issued weekly Secondary Sourced Information: Friday¶s closing price for CME barrels is $1.7375, compared to $1.6050 last week. CME blocks¶ closing price is $1.8250, compared to 1.7825 last Friday. Published by: Dairy Market News - Madison, WI Chong Wang, 2404813114 Email: cwang@dminc.com Additional Dairy Market News Information: Dairy Market News (DMN) by Phone: (608)422-8602 DMN Website: http://www.ams.usda.gov/market-news/dairy DMN Database Portal: http://www.marketnews.usda.gov/mnp/da-home