The strong build-up in spot and futures prices in the EU and NZ didn’t translate to strong demand in this event, with subdued gains in powder prices delivering an index gain of just 1.9%.

SMP jumped just 1.4% on average to US$3,676/t across all products with stronger gains in later contracts. Fonterra MH C2 gained US$30/t to US$3,660/t, giving a firmer forward curve under US$3,700/t, dipping for C5. WMP added 1.7% on average to US$3,987/t, with better gains for later deliveries. Fonterra Regular C2 gained US$60/t to US$3,940/t leaving firmer forward curve that lifted above US$4,000/t for C5.

Fats edged higher once more. Butter added 3.4% or US$184/t on average to US$5,534/t. C2 added US$213/t to US$5,493/t, still well below the highs seen in March and April. AMF gains were milder, adding US$88/t or 1.4% on average to US$6,472/t, with weaker gains for later delivery, leaving a weaker forward curve. C2 added US$128/t to US$6,478/t, slipping below fat equivalent against butter.

Cheddar was also more subdued with a 2.1% gain to average US$5,162/t, but contract changes were mixed. NZ young cheddar C2 added US$190/t to end at US$5,295/t, the best result ever on GDT. Lactose added US$27/t to US$1,299/t.