While the market still seems to be in holiday mode as both buyers and sellers are not particularly active, there has been a slight change in sentiment throughout last week. Available offers have disappeared, and prices have therefore lost most of their downward momentum. The current markets are not seeing that many offers anymore, but as the demand is also slow and traded volumes are down, cheeses have seemed to stabilize in prices. In general, cheese prices have not seen the drop in prices that some other dairy commodities have experienced, raising concerns about the sustainability of the current price levels. Some think that other regions might take advantage of the high European prices, with the milk season coming up in New Zealand and US production that stays fairly steady. The discussion about lower production versus lower consumption also remains, causing both buyers and sellers to remain hesitant to commit at current prices.
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