All dairy pricing trends are based on USDA and CME data as of May 27, 2026.
Butter
The butter market was relatively steady over the past week. Elevated milk output year-to-date has led to butter churns running at capacity. Analysts believe export demand will likely face headwinds, due to elevated freight costs and growing inflation risk. However, the cheaper prices earlier this year did support better domestic and global demand, and at current values, analysts believe that order interest is likely to remain constant. Updated cold storage levels for April remain 8.5% lower than last year and saw a smaller-than-expected build from March. Analysts believe that inventories should continue to improve, as this is the seasonal build time of year, and producers are running strong to take advantage of increased cream supplies coming to market.
Cheese
The CME block cheese market continued lower this past week, as milk output and overall cheese supplies remain plentiful and continue to outpace demand, according to analysts.
Shell Eggs
Urner Barry reported that Jumbo, Extra Large, and Large sizes declined over the past week in non-West Coast markets, while West Coast markets were down slightly across all sizes. Supplies remain readily available and are outpacing lower late-spring demand, according to analysts. Highly Pathogenic Avian Influenza (HPAI) in commercial flocks remains muted, with the USDA reporting 12 flocks and 170K birds impacted over the last 30 days.
Milk & Cream
Domestic milk production remains strong, and milk component levels have increased. Butterfat content remains at record levels; March milk output rose 2.3% year-over-year; and domestic dairy herds increased 8K head in March to 32-year highs, according to the USDA. Historically cheap feed costs and increased beef-on-dairy breeding revenue have helped dairy farmer profitability, keeping slaughter rates below average, according to analysts.