- Inventories are beginning to grow.
- The CME cash butter price has finally seen some downward movement. The market took its first price decline since mid-february two weeks ago. Since that drop the market has been mixed but seems to be trending downward.
- Retail and foodservice demands are fair.
- Butter production was 141.1 million pounds in March, 4.3% below March 2009 but slightly above February 2010.
- In New Zealand annual milk production projections are being pegged at flat with last season.
- In Australia, conditions are better than they have been in recent years for this time of the season, but milk production is expected to be down 4% from last season.
- Around the world butter supplies appear to be tight, providing support on the world market price of butter and consequently the U.S. price of butter.
- The stronger dollar is putting downward pressure on U.S. pricing.