Westpac lowers milk price forecast due to 'ongoing sluggishness' in Chinese market

Westpac lowers milk price forecast due to 'ongoing sluggishness' in Chinese market
Westpac still expects global prices to eventually recover, says Nathan Penny. (Image: Fonterra)
Riley Kennedy
Westpac has lowered its milk price forecast by more than a dollar per kilogram of milk solids due to “ongoing sluggishness” in the Chinese market.And it believes Fonterra “might” lower its range.The bank is now forecasting a milk price of $7.80 per kilogram of milk solids (kgMS), down from $8.90 per kgMS for the new dairy season.That’s compared to Fonterra’s latest forecast for $7.25 to $8.75 per kgMS, with a midpoint of $8.00.  ANZ Bank has also lowered its forecast to $7.75 per kgMS.The slashed forecas...

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