So what's the story with butter? Well, for one, butter consumption is on the rise with domestic consumption growth tracking in the double digits. But limited milk supplies are also playing a part. Milk output in the US has been tracking well below prior year in 2024 in part to a decline in the milk cow herd. And part of the blame lies in the cattle-beef industry. The limited animal supply has pushed milk cow prices at the slaughter markets to record highs providing the incentive for dairy farmers to liquidate parts of their herd.
Want to learn how Datum FS can help you anticipate commodity volatility? Learn more by exploring this website or fill out the form below. Thanks for reading.