NZD traders - BNZ have bumped up their Fonterra milk price forecast for 2019/20
For the kiwi $ traders, we've been keeping you apprised of the improving prices at the (approximately) fortnightly dairy auctions.
BNZ have thus raised their milk payment forecast for Fonterra
- to NZD 7.50 / kgms
Comments (in brief from a longer report:
- The NZ milk price outlook continues to improve.
- Dairy prices have been firm in 2019 and have pushed higher over recent auctions.
- GDT prices are heading toward the top of a trading range that has held them since 2014 and are now a chunky 26.4% higher than a year earlier.
- Overall, dairy market fundamentals continue to look healthy. Indeed, we would be forecasting a higher milk price if it were not for still elevated - if down from its peak - global economic uncertainty.