During February, the weekly dairy cow slaughter is up less than 1,000 head vs. last year. And, year-to-date slaughter is trailing 2011, by more than 10,000 head. Slaughter is expected to pick-up due to lower milk prices and high feed costs.

The CME spot cheese, butter and NDM markets were fairly quiet today. CME Cheddar block and barrel prices closed unchanged at $1.4850/lb. and $1.4725/lb., respectively with a single bid remaining in both markets. Class III APR – AUG contracts settled double-digits higher. CME spot butter and NDM prices were unchanged.

Dry whey prices reported in today’s Dairy Market News’s weekly survey were as low as 30¢; however, the Central dry whey mostly range is 62.0¢ to 65.5¢, down 3.0¢ on the high side of the range. The West dry whey mostly range is 45.0¢ to 63.0¢, down a penny on the high side. Both the Central and West regions are reporting a NDM price low of $1.20/lb.

However, the Central/East NDM mostly range is $1.28/lb. to $1.40/lb., down 2¢ on the low end and a penny lower on the high end. The West NDM mostly range is $1.23/lb. to $1.35/lb., down a nickel on the low side and a penny lower on the high side.