NZD traders - Dairy auction coming up today
A quick preview of the coming Global Dairy Trade (GDT) auction coming up during the London time zone today
It starts around midday London time
Check out the graph above .... the previous result was another slide, for 3 in a row
For today's auction, though, dairy futures are pointing to a bounce of around 5% in whole milk powder prices.
Production so far this season has been weak and the outlook is for further weakness ... but ...
- "We see the current prices as out of whack with dairy fundamentals.
- We do note that the market is factoring in some milk powder scarceness later in the season -
- ... the overall price level is still too low"