GlobalDairyTrade auction prices down
November 4, 2015
Tuesday's GlobalDairyTrade auction saw prices fall for a second successive time during the quickest session in five years.
Prices fell at the Fonterra-run auction by 7.4% which had been anticipated by many traders amid continued weakness in dairy futures traded on the NZX and suggestions that there is no shortage of powder on the market.
The decline came as the NZ central bank warned against getting caught up over the recent recovery in the dairy market after prices hit 13 year lows in August.
Whether these declines will continue is anyone's guess as questions are still raised over the dairy output in New Zealand with continuing El Nino weather patterns adding to the burden of lower prices.