Prices were down for all commodities except cheddar and lactose, which lifted 1.9% and 12%.
The largest fall in the main commodity groups was anhydrous milkfat, which plummeted 7%. Regular grade AMF to ship in June dropped 15%. The NZX Dairy Derivatives market had been expecting AMF to ease just 1%.
Whole milk powder prices fell 3.9%, while regular grade WMP to ship in June fell 4.2%. The derivatives market had been indicating a fall of 2.2%.
Skim milk powder prices dropped 4.9%. Medium heat SMP to ship in June was also down 4.9%. The derivatives market had expected a fall of 3.5% ahead of the event.
Butter prices were down 3.6%, and unsalted butter to ship in June fell 2.6%. This was a better result than expected for butter, with the derivatives market indicating that butter prices would slide 5.4% ahead of the event, NZX dairy analyst Amy Castleton said in a note.
Volumes sold were up on the previous event, except for SMP which was down slightly. Compared to the equivalent event last year, volumes were also up, except for butter, which was down slightly.
“Demand therefore seems to have been reasonably strong; however buyers were evidently not willing to accept higher prices,” Castleton said.
