Thursday, March 28, 2024

Milk powder futures improve

Avatar photo
Prices for milk powder futures have drifted up over the past week on the NZX Dairy Derivatives market. Prices for both whole milk powder futures (WMP) and skim milk powder futures (SMP) are above those achieved the week before for almost all contract periods. Anhydrous milkfat futures (AMF) and butter futures have seen no changes due to not being traded. Prices for WMP futures are now predicted to reach US$2800/t by July 2016. WMP futures are trading at US$2515/t for the January 2016 contract. SMP futures are trading at US$2040/t for the January 2016 contract. 
Reading Time: < 1 minute

Volumes traded last week saw small changes for WMP and SMP. Approximately 300t less than the previous week was traded for WMP, while for SMP, approximately 350t more was traded than the previous week.

Open interest positions increased a little with WMP having +2.62% more open positions and SMP +6.39% more as at the close of business on Friday 11 December.  

There were a couple of larger trades for WMP on Friday – one for 100t and the other for 265t, for the May and June 2016 contracts respectively. Both settled at a price of US$2740/t. There was one trade for SMP on Friday, for just 5t, which settled at US$2040/t. All other trades were for WMP.

Market activity improved on Friday after Fonterra released its final GlobalDairyTrade volumes on Thursday afternoon. Much of the trade was the 265t of WMP, which was traded off market. On market, 380t at a value of US$1.03m was traded over 14 trades.

 

Total
0
Shares
People are also reading