What It Will Take To Sustain Dairy Market Bullishness?

The dairy market’s been strong in the last two months on export demand and government programs providing incentive for consumer dairy purchases. November Class III milk futures hit a contract high this week at $24.09 CWT, and those gains are expected to continue, boosting other contract months (December 2020 futures also hit contract highs this week at $21.16/CWT). But like many in agriculture know well, good times don’t always last. So what will it take to end this bull run in dairy prices? One market-watcher says the most likely cause would be n increase in the U.S. Dollar index, which has been hovering around two-year lows, contributing to strong export sales. But, all signs indicate a top isn’t yet in for the dairy markets. See more on the bullish dairy fundamentals.