Regular grade WMP to ship in April jumped 10%, reaching US$3255/t.
Ahead of the event, the NZX Dairy Derivatives market predicted a lift of 9.3% for that grade and contract over the two February auctions.
WMP prices are now well above US$3000/t across all grades and delivery periods.
Skim milk powder (SMP) prices were up 7.2% overall.
Medium heat SMP to ship in April increased 9.5%. Ahead of the event the Derivatives market expected a lift of 7.8% in that grade and contract of SMP over both February sales.
Prices for European SMP sold by Arla were marginally stronger but remain US$300/t behind the prices Oceania product achieved.
Butter prices jumped 7.9%.
The price for unsalted butter to ship in April lifted 8.3%, again ahead of expectations. The Derivatives market expected a 6.8% lift in the price of that grade and contract of butter through the two February events.
Anhydrous milk fat (AMF) prices were up 0.5%. The price for regular grade AMF to ship in April was nearly static, increasing just 0.1%.
However the Derivatives market had expected a 1.1% fall in that grade and contract of AMF through the two February GDT events so it still performed above expectations.
Falling New Zealand milk production and revisions to Fonterra’s offer volumes continue to support prices on GDT.
Volumes of SMP and butter were pulled back ahead of this auction.
AMF volumes had been lifted but strong demand is keeping prices high.
There were no revisions to WMP volumes ahead of the auction but buyers seem to be more nervous that they will not be able to fulfil their requirements if NZ milk production continues to fall, AgriHQ analyst Susan Kilsby said.
There were a few more winning bidders from North Asia last night than at the January 16 auction and more product was sold to that region.
Prices for butter milk powder jumped 8.4%, cheddar prices were up 7.2% and rennet casein prices lifted 5%.
There were 126 winning bidders with 22,197t of product sold.
