GDT Auction of Oct. 15 held up well - MMP prices continue to rise The second Oct. 2019 auction of the Global Dairy Trade (GDT) has maintained the current level of autumn prices with an average of +0.5%. The summery phase of weakness is over. Sales stabilized at 38,712 t at a higher level than in the summer months. Skimmed milk powder has made a decisive contribution to the positive result. Whole milk powder (VMP) , with an unchanged result on average of all delivery months, could barely reach the previously achieved level. In all delivery months, the results moved around the zero point. Milk delivery is currently reaching its seasonal peak in New Zealand. Skimmed milk powder (MMP) increases the price level by an average of +2.4% for the third time in a row. Strong surcharges were achieved in Jan / Fbr.-20 with +3.2 % and +3.4%, respectively. After a long dry spell, the MMP prices are again above the multi-year average.Butterfat has been able to settle slightly higher with an average of + 0.8% . In addition, the Nov (+ 3.8%) and the Apr (+ 4.3%) contributed with hefty markups. The courses are still in good midfield. Normal butter got with -0.4% on average for the 2nd time a damper. Apart from the Nov. 19 and Apr. 20, the other dates moved in the negative range between -0.5 to -0.8% to the Vorauktion. Nevertheless, the butter prices are still in good midfield. The current GDT auction results are quite stable in terms of the high seasonal auction volume. MMP made for gratifying price increases, which can build on old average prices again. Butter prices remain strong at elevated levels. Remarkable are the clear surcharges for the delivery months Nov. 19 and Apr.-20. In the USA, the butter prices remain at a stable average exchange rate due to the deficit situation there.At EEX-Leibzig , forward rates for butter will not change significantly until spring 2020; only in April / May 2020 are upward movements visible. For skimmed milk powder, there are slight upward trends, but already cancel for the early summer months. For the dairy sector, little price movement is currently foreseeable. ,
