As a result the GDT price index fell 0.4%.
Prices for butter and anhydrous milk fat came off the boil. The butter price index eased 0.1% and the AMF price index dropped 3.5%.
The NZX Dairy Derivatives market had expected prices for those commodities to ease.
Unsalted butter to ship in September eased 1%, slightly less than the 1.3% fall the derivatives market expected.
Regular grade AMF shipping in September was expected to ease 0.9% but fell 5.3%.
“There has been concern that buyers would no longer be able to absorb the record prices that these two commodities have been hitting though it is too early to tell whether this is the start of a longer-term downward trend,” NZX Agri senior dairy analyst Susan Kilsby said.
“Butter prices are still more than double what they were this time last year and AMF prices are 80% higher.”
Prices for nearer-dated WMP contracts lifted more than prices for later dated ones, suggesting some buyers need WMP more urgently than others.
Regular grade WMP to ship in September sold for US$3115/t, up 6.3% on the price it sold for at the June 20 auction. The derivatives market had expected a lift of just 0.2%.
Butter milk powder prices lifted 10.8%.
Fonterra last week said it was offering 300t less BMP on the GDT platform because it had strong demand elsewhere.
The skim milk powder price index dropped 4.5% overnight. The derivatives market had expected it to ease 4.8%. The large stocks of SMP in Europe continued to overhang the market.
The European Commission sold 100t at a price lower than expected at its last tender round, which appeared to have put further pressure on the SMP market.
There were more winning bidders at this event, including more from north Asia. Buyers from north Asia and the Middle East bought more product than they did at the June 20 auction.
There were 127 winning bidders at this event, compared to 111 at the last event. There was 28,574t of product sold.
Cheddar was down 3.2%, lactose fell 3.3% and rennet casein fell 2.7%.
