The 3rd GDT event for 2021 brought the 6th successive increase in prices in what is the best rally for 2 years. SMP was the only loser, sliding 1.4% or US$45/t to average US$3,198/t, with small losses across all contracts, C1 posting the largest loss. The NZ premium over EU product widened to US$356/t as Fonterra’s MH product for C2 lost US$35/t to US$3,230/t, Arla’s average dipped US$46/t to average US$2,874/t.
WMP gained 2.3% or US$78/t to average US$3,458/t, with gains a little stronger for earlier delivery periods. C2 gained US$87/t to US$3,447/t. Regular product C2 WMP added US$85/t to US$3,430/t, while the C5 regular contract added just US$5/t.
Fats continued firming. Butter posted another strong lift of US$293/t or 6.2% to push the average to US$5,028/t, with consistent gains across C2 to C4. C2 lifted US$310/t or 6.6% to US$5,020/t. The surge in AMF prices slowed as it added 1.2% or $65/t to average $5,463/t, with mixed changes but stronger gains later than pulled those prices slightly above the average. C2 lost US$29/t to US$5,420/t, leaving a flat forward profile under US$5,500/t.
There were small gains across all Cheddar contracts as the average added US$96/t to US$4,178/t, and C2 gained US$68/t to US$4,148/t. Lactose continued to improve and added US$44/t at this event, to finish at US$1,217/t.