---
title: "Class 3 Milk Futures | ProFuturesTrader"
url: https://profuturestrader.com/education/futures-markets/class-3-milk-futures
description: "Plain-English class 3 milk futures guide: contract size, ticks, settlement, expiration, and risk. Educational only."
lang: en
---

Softs, Dairy and Livestock Futures

# Class 3 Milk Futures

Class 3 milk futures describes DC contract mechanics, not a forecast or a recommendation.

Educational only, not a recommendation to buy or sell any contract or a solicitation to open an account. Futures and options trading involves substantial risk of loss. You can lose more than your initial deposit.

## Contract specifications

| Specification | DC |
| --- | --- |
| Exchange | CME |
| Symbol | DC |
| Contract size | 200,000 pounds (2,000 cwt) |
| Tick size / value | $0.01/cwt = $20 |
| Trading hours | 2026 dairy fact card: Sunday 5:00 p.m. through Friday 1:55 p.m. CT, with daily halts 4:00–5:00 p.m. CT. Confirm the current schedule. |
| Listed months | 24 calendar months listed; confirm current listings. |
| Settlement | Cash-settled to the USDA Class III price as first released. |

Last verified November 10, 2026.

This is the supplied source-note date, not confirmation of every live field. Dated sources and fields requiring exchange confirmation are identified below.

- Official contract specifications: https://www.cmegroup.com/markets/agriculture/dairy/class-iii-milk.contractSpecs.html
- CME dairy education and official resources: https://www.cmegroup.com/markets/agriculture/dairy.html

Contract facts use CME Rulebook Chapter 52 and the official 2026 dairy fact card.

## Micro, mini, and related smaller contracts

No smaller listing is verified here; check the exchange.

## Worked tick and 1% example

**Hypothetical arithmetic illustration only — not a current price, projection, trading result, or recommendation.**

One outright tick changes one DC contract by $20. Four ticks change it by 4 × $20 = $80, in either direction, before costs.

Assume a made-up quotation of 20 U.S. dollars per cwt. A 1% price change is 0.2 in those quote units. Multiplying by 2,000 gives $400 for one contract. The same move against a position produces a loss of that amount before costs.

Commissions, fees, bid-ask spreads, and slippage are excluded. Leverage can lead to losses larger than your deposit; a 1% price move is not a 1% account-equity move.

## Margin and leverage

Margin is a performance bond, not the purchase price or a limit on loss. Exchange requirements and carrying-firm requirements can change; the firm may require more and may liquidate positions when requirements are not met. No margin dollar amounts are quoted here.

Official exchange product and margin information: https://www.cmegroup.com/markets/agriculture/dairy/class-iii-milk.contractSpecs.html
·
Margin and Leverage in Futures: https://profuturestrader.com/education/margin-and-leverage

## What moves the market

Milk output, cheese demand, feed costs, and USDA dairy reports can change expectations.

Reading the Economic Calendar (https://profuturestrader.com/education/reading-the-economic-calendar) explains scheduled-release timing. Unscheduled news can also move prices; stops do not guarantee an exit price.

## Rollover and expiration

Last trading day is the business day immediately preceding the USDA announcement; the 2026 fact card states 12:10 p.m. CT. Confirm current release and expiration calendars.

A roll closes one contract month and opens another; spreads, costs, and execution risk remain. Firm deadlines may be earlier than exchange deadlines. See Contract Rollover, First Notice Day, and Last Trading Day (https://profuturestrader.com/education/contract-rollover).

## Frequently asked questions

### What is the contract size and tick value?

DC: 200,000 pounds (2,000 cwt); $0.01/cwt = $20.

### Is there a smaller related contract?

### How does settlement and expiration work?

Cash-settled to the USDA Class III price as first released. Last trading day is the business day immediately preceding the USDA announcement; the 2026 fact card states 12:10 p.m. CT. Confirm current release and expiration calendars.

### Does a smaller contract or a stop remove risk?

No. Futures remain leveraged; you can lose more than your initial deposit. Smaller contracts change dollar exposure, not market direction. Stops do not guarantee a fill at the stop price.

## Talk it through, if that would help

Ask about contract mechanics or practicing with simulated funds. There is no obligation to open an account.

28-day demo: https://profuturestrader.com/demo
Platforms: https://profuturestrader.com/platforms

Demo accounts use simulated funds. Demo results do not reflect real trading and are not indicative of future results. Features, terms, and availability can change.

**Drew Rathgeber**, President
949-996-4611 (9499964611) · drathgeber@profuturestrader.com

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