News

Cheese tops $1.75, but ceiling may be near

January 20, 2005

LOUISVILLE, Ky. — Continuing its history-making rise, the block cheese price climbed nearly 4 cents to $1.75 per pound in Jan. 21 trading on the Chicago Mercantile Exchange.

For the week, prices rose nearly 13 cents and more than a quarter in the past two weeks. Compared to the same period last year, blocks are 45 cents higher and nearly a half dollar above historical January averages.

The good news for pizza operators is at least one analyst predicts the price ceiling may be near. Jerry Dryer, editor of Dairy & Food Market Analyst newsletter, believes nationwide supply is increasing enough to pressure prices soon.

"In my estimation, the cheese market is due for a correction; but not a crash," Dryer wrote on Jan. 21. "I expect prices to move back into the low $1.50s over the next couple of weeks."

Read more in our Cheese Market Analysis Research Center.