News

Cheese prices to modulate mildly then decline in '06

December 5, 2005

LOUISVILLE, Ky. — Dairy industry watchers expect cheese prices to remain fairly steady for the next month before dropping lower in early 2006.

Throughout November, prices for cheddar blocks traded on the Chicago Mercantile held in the high $1.30s until the 29th, when the fare hit $1.40. In the week since, prices have inched up 2.5 cents, and that led analyst Jerry Dryer, editor of Dairy & Food Market Analyst newsletter, to predict further modest increases — but no run-up.

The November issue of the MCT Compass, a newsletter published by MCT Dairies Inc., predicts December prices to remain at current levels, but its long-term forecast shows block prices beginning a modest meltdown in January and falling to as low as $1.30 by April.

Read related articles in our Cheese Market Analysis Research Center.