Skim continues the unstoppable rise, as dire butter prices are pressuring producers to recover margins from skim, which is conveniently underpinned by the intervention strong holders. Skim milk powder is up €50 on feed grade and €20 on edible over the past week. There isn't a stated tonnage published, but reports of further skim purchases by China are doing the rounds, as beef continues to fill the pork void. Re which, Chinese pig production is 50% down, and Philippines by 20% as ASF gains ground there. Even Thailand has reduced pork production, despite how attractive the higher pork prices have become, even though the disease hasn't gained traction there yet.

Whey is up a touch, but again, it seems opportunistic for traders to follow skim sentiment, despite cheese production going full chat and plentiful supply. Having said that, as the skim market is highly unlikely to break before Christmas, a slide in whey seems even more unlikely.

What a pretty pass the Pound has arrived at. What has it come to when an election is called, and the prospect of a unreconstructed Trotskyist as prime minister is viewed by the money markets more favourably than a loony Tory sociopath stuffing the UK economy £70 billion down the lav with his half-arsed ‘Great Brexit Deal'?

BDC agri is the UK broker for Lacto Production milk and whey powder products. For further information and prices, contact Greg Dunn on 01206 381521 or g.dunn@blackdiamondcommodities.com