Dave’s Weekly Market Update – April 8, 2021

Happy Thursday to all!

The egg market continues to correct itself but it seems like it is nearing the end. We just passed the level that egg producers need to break even. If it goes much lower they will start losing money again as they did last year.

Butter had been dropping earlier this week but rallied today to keep it at the same level as last Thursday. 20 loads traded –  showing that people thought it was a good value at the lower price yesterday.

Tomorrow will be the predictor as to where we might be headed. The uptick in butter is causing cream cheese to rise because it follows the butter market as well as class 3 milk.

Butter Blend 60/40 Alpine Valley:
I am still dealing on pallets of this at $1.49. With butter rising this is becoming a better value.

Both Block and Barrel rallied this week to the highest levels since early January. Foodservice demand is rebounding and I feel that this is helping to drive the markets. I am unsure if it will sustain itself as we are into Spring Flush which means the amount of milk available is at its peak.

We hope you are all enjoying this beautiful Spring weather and as always thank you for your continued business.