News

Cheese prices leap 10 cents in two days

May 16, 2005

LOUISVILLE, Ky. — A busy two-day sell-off sent block cheddar prices streaking upward 10 cents in trading on the Chicago Mercantile Exchange.

After trading in the mid-to-low $1.40s for nearly three weeks, blocks rose from $1.47 to $1.57 on nearly 50 bids made from May 16-17. The yield was an equally surprising 18 trades. On most days, block bids and trades number in the single digits.

It's not clear whether all the activity signals strong demand for cheese nationwide or merely the pressing needs of a few. Industry watchers say retail demand for cheese remains unimpressive, while restaurant usage appears to be solid