Dec 27 2018

DAVE’S WEEKLY MARKET UPDATE

Good Afternoon to all,

Eggs:
     The egg market dropped .01 on larger sizes today. Mediums have dropped considerably over the last month. I would expect a modest decrease in the coming weeks as all the holiday baking is over until Easter approaches.
Butter:
     Butter has remained fairly stable for quite a while with minor fluctuations. Inventory levels fell substantially during the recent holiday demand period and manufacturers are trying to rebuild inventories for the Spring. I feel we will not see much change for a while until Spring baking demand builds up. As always I must state that these are only my opinions and observations of the markets and can guarantee no results. Cabot did raise all butter by .03 as their plants are  at capacity and do not have enough to satisfy all their demand.
Cheese:
     Both Block and Barrel dropped some this week but the Block rebounded .035 today. The markets are very low at this point as we have record inventories in cold storage at this point. I believe we will stay with low prices until the inventory issue is resolved.
Many manufacturers are raising premiums as we enter the new year. Cabot increases all current cheese premiums as well as butter and cultured products. Great Lakes, Saputo, Schreiber and Savencia have also announced increases. Many are basing it on freight as we all are aware costs are much higher than in the past. Others are just calling it a cost of living increase. I would expect more to come.
All of us at Honor Foods wish you a happy and healthy New Year!