International dairy market activity saw both whole milk powder (WMP) and skim milk powder (SMP) prices increase in the recent Fonterra Pulse auction on August 11th. Notably, SMP experienced a significantly larger price surge than WMP, resulting in a reduced price gap between the two products. The difference between WMP and SMP prices has narrowed to 6.2%, reaching its lowest point this year. This is a slight decrease from a previous low of 6.7% observed in May's initial auction. The Fonterra Pulse platform, a key indicator of global dairy trade, showcased this shift in market dynamics. The increased demand for SMP appears to be the primary driver of this changing price relationship. This trend suggests evolving consumer preferences or industrial needs impacting dairy product choices.