European Dairy Prices Present Opportunities for US Market

EU Butter Prices Soar, Opening Door for US Dairy Exports

Nate Donnay, Director of Dairy Market Insight at StoneX, recently shared his analysis on the current dynamics in the global dairy market, highlighting potential opportunities for US producers amidst record-high European butter prices.

Key insights

European butter prices reached a record high of approximately $4 per pound in September 2024
The price disparity between US and European butter could open export opportunities for US producers
High European dairy prices may have the most significant impact on the US cheese market

Donnay points out that while the correlation between butter prices across major dairy exporters is limited, the strength in the European market could indirectly support US dairy prices. "With US butter prices at $3.20 or lower in recent days and Europe at $4, this will open up some export opportunities for the US," he explains.

Donnay notes that the impact on US butter prices might be minimal, but the cheese market could see more substantial effects. European cheesemakers are facing competition from strong returns in the butter and powder markets, pushing EU cheese prices higher. This situation could make US cheese more attractive to importers, especially given the price spreads for Q1 2025 futures.

However, Donnay cautions that New Zealand's current lower prices could still attract buyers before they turn to the US market. He suggests that any disruption in New Zealand's milk production could quickly shift buyer interest towards US products.

Read the full article here

Make Actionable Dairy Insight Your Edge

Navigate volatile dairy markets with confidence. Try StoneX Plus free for 14 days. Access expert analysis, forecasts, and customizable data tools to drive smarter decisions. From live prices to interactive charts, get the intelligence you need to thrive in today's volatile dairy markets.

Start Your Trial

See why StoneX is a partner of choice

Have questions about our products or services? We're ready to help.

Start a conversation

StoneX: We open markets

Our market expertise, advanced platforms, global reach, culture of full transparency and commitment to our clients’ success all set us apart in the financial marketplace.

Globality

With access to 40+ derivatives exchanges, 180+ foreign exchange markets, nearly every global securities marketplace and numerous bi-lateral liquidity venues, StoneX’s digital network and deep relationships can take clients anywhere they want to go.
Transparency

As a publicly traded company meeting the highest standards of regulatory compliance in the markets we serve; our financials and record of accomplishment are matters of public record. StoneX’s commitment to “doing the right thing over the easy thing” sets us apart in the industry and helps us build respect, client trust and new partnerships.
Expertise

From our proprietary Market Intelligence platform, to “boots on the ground” expertise from award-winning traders and professionals, we connect our clients directly to actionable insights they can use to make more informed decisions and achieve their goals in the global markets.

Tell us about yourself. Are you a:

First name

Last name

Company

Country

Province/Region

By submitting this form, you are sending StoneX Group Inc. and its subsidiaries your personal information to be used for marketing purposes. View our Privacy notice to learn more.

First name

Last name

Company

Account number

Account holder name (if different from above)

By submitting this form, you are sending StoneX Group Inc. and its subsidiaries your personal information to be used for marketing purposes. View our Privacy notice to learn more.

The subsidiaries of StoneX Group Inc. provide financial products and services, including, but not limited to, physical commodities, securities, clearing, global payments, risk management, asset management, foreign exchange, and exchange-traded and over-the-counter derivatives. These financial products and services are offered in accordance with the applicable laws in the jurisdictions in which they are provided and are subject to specific terms, conditions, and restrictions contained in the terms of business applicable to each such offering. Not all products and services are available in all countries. The products and services offered by the StoneX Group of companies involve risk of loss and may not be suitable for all investors. Full Disclaimer.

This website is not intended for residents of any particular country, and the information herein is not advice nor a recommendation to trade nor does it constitute an offer or solicitation to buy or sell any financial product or service, by any person or entity in any jurisdiction or country where such distribution or use would be contrary to local law or regulation. Please refer to the Regulatory Disclosure section for entity-specific disclosures.

No part of this material may be copied, photocopied or duplicated in any form by any means or redistributed without the prior written consent of StoneX Group Inc. The information herein is provided for informational purposes only. This information is provided on an ‘as-is’ basis and may contain statements and opinions of the StoneX Group of companies as well as excerpts and/or information from public sources and third parties and no warranty, whether express or implied, is given as to its completeness or accuracy. Each company within the StoneX Group of companies (on its own behalf and on behalf of its directors, employees and agents) disclaims any and all liability as well as any third-party claim that may arise from the accuracy and/or completeness of the information detailed herein, as well as the use of or reliance on this information by the recipient, any member of its group or any third party.