MD_DA410

     Butter - Eastern U.S.

     Report 51 - Released on December 18, 2019

     Butter production is fairly constant, ahead of the upcoming yearend holiday and inventory
     building activities, which targets Q1 2020 contractual sales. In the Northeast, cream is
     readily available while multiples varied in a wide range, 1.10-1.30, with most trading
     occurring at 1.28. Both salted and unsalted butter stocks are being replenished following
     solid holiday purchasing. Most retail butter orders have been dispatched; however, inclement
     snow conditions hamper distribution in some Northeast markets. The current bullish undertone
     of the butter market is supported by an active pre-holiday buying trend. Some sources expect
     prices to dip lower next week. The bulk butter market for domestic sales is reported 4-8
     cents over the market of the CME Group, with various time frames and averages used. Some
     plants will shut down their churns an additional day or two during the holiday week. A
     cooperative export assistance program has accepted requests for export assistance to sell
     277,782 pounds (126 metric tons) of butter.

     NATIONAL RETAIL REPORT DAIRY – BUTTER SUMMARY
     Advertised Prices at Major Retail Supermarket Outlets ending during the period of
     12/13/2019 to 12/19/2019

     Butter 1#                       Weighted Average Price
     National                  This Period   Last Week   Last Year
     Conventional                 $3.22        $3.43       $3.02
     Organic                      $6.03        $6.11       $5.99

                                       Prices This Period
     Regional (Conventional)     Wtd. Ave.      Low         High
     Northeast                    $3.19        $1.99       $5.99
     Southeast                    $3.32        $1.99       $3.99
     Prices for: Eastern U.S., All First Sales, F.O.B., Grade AA, Conventional, and Edible Butter

     Bulk Basis Pricing  - 80% Butterfat $/LB:              +0.0400 - +0.0800


     Information for the period December 16 - 20, 2019, issued weekly

     Secondary Sourced Information:

     CME GROUP
     Tuesday's CME Group cash trading saw Grade AA butter close at $1.9875, up from $1.9400 a
     week ago.
     Published by:
     Dairy Market News - Madison, WI
     DANIEL JOHNSON, 608-422-8605
     Email: daniel.johnson4@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