Strong performance by powders at GDT

by | Sep 18, 2020 | GDT, Global

A strong result for both milk powders lifted the index by 3.6% in a mostly positive event. SMP was the standout in this event, surging 8.5% or US$226/t to average US$2,889/t. Price changes were mostly substantial, but C2 was the weakest, adding 3.8% or just US$105/t, while C3 to C5 contracts improved in double-digit percentages by more than US$300/t. NZ product performed best, lifting the premium over EU product past US$300/t.

WMP made moderate gains that averaged better than US$100/t across all periods, adding 3.5% to US$2,985/t. The gains were similar for regular product, where C2 added US$80/t or 2.8% to US$2,980/t.

Fats were again a mixed story. Butter lost US$52/t or 1.6% to average US$3,282/t, dragged lower by a heavy loss in C1 of US$355/t and a US$240/t loss in C6. C2 added 0.5% or US$15/t to US$3,325/t.  The forward profile remained weaker, mostly below US$3,300/t. AMF added 1.5% or US$58/t to average US$3,910/t, with gains across the board, leaving a firmer profile that lifts above US$4,000. C2 did best and gained 2.6% or US$98/t to US$3,898/t.

Cheddar rebounded after a horror stretch, adding 7.2% or US$246/t on average, with C2 adding 5.9% to US$3,645/t and later delivery prices making stronger gains. Lactose prices eased US$37/t, to US$1,277/t, the weakest in 4 events.