The price of EU butter dropped significantly in November compared to October, with prices declining continuously throughout the month. Key factors behind the fall included traders looking to sell out of positions in order to generate short financial market positions, and limited buying interest. However, it is expected that the upcoming Christmas demand will add some seasonal buying interest, which could support prices for the first two weeks of December. The outlook after Christmas is mixed, as processors are expecting low demand following the holiday period.
The assessment for Unsalted Butter EXW European Union [Mintec Code: J116] was made at €5,625/mt, down €675/mt month-on-month on the 24th of November.