The Global Dairy Trade (GDT) index has seen another slight decrease, making it two consecutive drops in the index figure following on from two consecutive increases before that.
The index figure now stands at 1,002 after trading event 333 today (Tuesday, June 6), a 0.9% decrease on the figure for the last event on May 16, which itself also saw a 0.9% decrease on the previous event.
In the 12 most recent GDT auctions (including today’s) the index saw nine decreases (although some were relatively marginal) and three increases.
On April 4, the index figure decreased to 964, its lowest figure since November 3, 2020.
In terms of today’s results, a total of 23,119MT of product was sold, at an average price of $3,399/MT.
113 winning bidders – out of 160 participating – emerged after 18 bidding rounds, with the event lasting two hours and 40 minutes.
Across the sub-indices for the various products, perhaps the stand-out result was a significant 7.4% increase for cheddar, with an average price today of $4,668/MT.
Anhydrous milk fat (AMF) and butter also saw gains, of 1.8% and 0.5% respectively.
This was reflected in average prices of $4,728/MT for AMF and $5,088/MT for butter.
However, these increases were balanced out by decreases for both whole milk powder (WMP) and butter milk powder (BMP).
In the case of the former, the sub-index decreased by 3%, reflecting an average price of $3,173/MT.
For BMP, the sub-index fell by 2.4%, for an average price of $2,322/MT.
No percentage change was recorded for skim milk powder (SMP), the average price of which was recorded as $2,755/MT.
No results were available for lactose immediately after today’s trading event.
The latest GDT results come as Rabobank said that the “significant correction” in milk price in the EU has now passed.
In a new report, the Dutch bank – which periodically publishes market analysis of the dairy sector – said it expects “more modest revisions in pay-out prices” in the months ahead, compared to recent months.