Market News

Dairy markets mixed

A mixed day in the dairy markets on Tuesday as most viewed Monday’s September milk production numbers “about as expected.”  Cash cheese barrels on the Chicago Mercantile Exchange fell 7.25 cents while blocks held steady.  The barrel-to-block spread is now at 29 cents.  Traders know that needs to narrow but the question is: will barrels go up or blocks go down?

Cash butter increased another 1.75 cents on Tuesday on top of the 1.5 cent increase on Monday.  Cash nonfat dry milk slipped a penny.  Class III futures for October down a penny, November up a penny and December lost a nickel.

 

Coca-Cola announcing its third-quarter financials on Tuesday; net sales for the quarter were down 0.4 percent and net income was 14 percent lower than the third-quarter of 2013.

CEO Muhtar Kent unveiled a five-point plan to turn things around at the company which includes more emphasis on their value-added dairy, juice, teas and energy drinks.

Priority brands include Core Power; a real-milk protein recovery drink made from lactose-free milk and honey.  Core Power is produced by Fair Oaks Farms of Indiana and distributed and marketed by Coca-Cola.