Two weeks ago, global forward prices showed a “pause” after having raised continuously for months.
In last two weeks markets have heavily confirmed downsizing trends for both Butter (avg. – 9,8%) and Solids Non Fat (-7,2%)
The still flat/lowering global milk output, driven by unaffordable high production costs, has been more than counterbalanced by reduced global demand.
From now on, dairy commodity forward prices are showing further reduction, closing gap between demand and supply price expectations.