GDT auction 06. Oct. 15: + 9.9% - the recovery rate continues
The latest GDT auction the global dairy trade (GDT) of dairy products in the global Internet has a further rate increase of prices for dairy products 9.9% led to. Thus, prices in the last 2 months to more than 50%, are however increased from a very low level. The auction results of the GDT to deliver trend-setting price parameters in the international dairy trade.
Little modified auction offer of about 35,000 t , recent increases in price signals a significantly increasing demand for dairy products from the import countries.
Whole milk powder was in the average of all delivery dates to + 12.9% traded higher. When a commercial share of more than 60%, this additional amount beats significantly to beech. Some considerable increases were implemented in almost all delivery dates including Apr.-16. The highest surcharge was + 36.9% for the dates of Nov 15. Significantly weaker wrote the Apr.-16 date with only + 7.0%.
Skimmed-milk powder reached an average rate improvement of + 13.4%. In this case, the breadth of the surcharges ranged from + 7.7% for the delivery in March-16 to 16.2% in the month of Feb-16.
The two butter fats achieved totally different results. Butterfat reached an average surcharge of + 9.9%. In the vast majority of the delivery months new year 2016 the surcharges ranged from 10% to 14.1%, however, were significantly lowered the rates for normal butter with average -2.3% . With the exception of the dates of Dec. 15 with a score of + 1.5% were % other delivery months in the minus range from 4.2 to-7.4 Apr.-16 last month. However previous butter prices in comparison to the other dairy products were significantly higher. Certain signal effects emanating from the unusually high US butter price. A correction is not surprising.
Them to the 4 times higher completed auction results a supply-demand development underscorethat stands out clearly from the cyclical bottoming. The course towards a robust upward trend have been provided with reasonable advance prices for the first spring months in 2016.
That previously reached level is still below the multi-annual average values, but a substantial portion of the recovery path to the multi-annual average prices has been reached already. The global developments in other regions indicate that both a "normalization" of the market is controlled by the supply as demand side.
In the next few months is what degree the seasonal peak of milk delivery in New Zealand and Australia in the Oct. 15 reach willprove. The messages of a reduced herd of cows in New Zealand and the upcoming El Niño weather phenomenon are as evidence that the usual increases behind previous years remain. Another significant relief of the offer would be connected.
Possibly above considerations seen in the present auction stood Godfather.
