There were big moves in the GDT Index as geopolitical uncertainty looms. The increase was ahead of expectations, reflecting positive market sentiment but also demand for near-term product needs.

Powder propelled higher as SMP rose 9.1% on strong relative demand as buyers in the Middle East were more engaged. Fonterra MH C2 gained 11.4%, hitting US$3,340 per MT – the highest since December 2022. Average WMP lifted 4.2%, and Fonterra Regular C2 increased 4.4% despite lower sales to the Middle East. WMP remains cheaper relative to its SMP/AMF shadow value. Average butter prices climbed 6.1%, while average AMF prices rose 5.9%. North Asia bought more butterfat relative to the same event last year. Average Cheddar prices rose 3.9% with stronger demand, and NZ C2 Young Cheddar lifted by 5.3% to US$4,935/t. Arla C2 Mozzarella gained 8.6%. Lactose prices fell 4.0% to US$1,459/t.