This week’s event outcome provided a more positive result to the previous three only because it didn’t fall as far! The index dropped 2.9% which was mild given the ugly rumour referred to below.

SMP was unchanged on average to $3,524/t but there were some important details within that outcome. Fonterra MH C2 added $10/t to $3,530/t, with a flat forward curve. WMP dropped 3.6% or $127/t on average to $3,417/t. Fonterra Regular C2 lost 4.1% or $145/t to $3,375/t, also with a flat forward line.

Butterfat prices were mixed, but AMF took the biggest hit this time, widening the discount for on butterfat equivalent terms. Butter gained 0.2% or $10/t on average to $5,204/t, with small changes across contracts but left the forward curve slightly weaker. C2 lost $3/t to $5,207/t. AMF was hammered on poor demand, falling 9.6% on average or a massive $528/t to $4,990/t with again a larger loss in C1 ($683/t), which pulled that contract price back to the pack. C2 lost $602/t to $4,911/t.

Cheddar gained a solid 4.3% or $207/t on average to $5,005/t. NZ young cheddar C2 rose $195/t to $5,015/t.