After many events where the apparent “bargain” of WMP on GDT became more compelling given strong price gains in northern hemisphere fat and protein markets and the gradually deteriorating NZ post-peak season, WMP prices finally posted a solid gain. Demand for both powders was well above GDT averages, and it was almost a clean sheet of gains across commodities, pushing the index 4.6% higher for the 300th event.
WMP gained US$216/t to US$4,082/t, with a range of gains across contracts which was weakest in C5. SMP lifted 5% or US$190/t on average to US$3,963/t, the 12th average price increase in this rally. Fonterra MH C2 gained US$170/t to US$3,920/t, which was the smallest contract gain, leaving a forward curve that lifted above US$4,000t for C5. The discount for NZ product against EU SMP widened to $100/t on the averages, with Arla product adding $225/t on a simple average to $4,020/t.
There were again mixed changes in fat prices, as price of butter surged. Butter added 290/t on average to US$6,158/t, with consistent gains across contracts. C2 added an average of US$295/t to US$6,175/t for the 8th consecutive price gain in this rally. AMF was mixed across contracts, continuing the small rollercoasting, this time adding US$52/t to average to US$6,720/t, but an odd set of results with C2 averaging a US$66/t gain to US$6,730/t.
Cheddar results continued to improve with a US$59/t gain to average US$5,546/t. NZ young cheddar C2 added US$90/t to end at US$5,525/t.