Cheddar cheese soup

1 cup chopped onion
1/4 cup (1/2 stick) margarine or butter
1/4 cup flour
2 Tbsp. GREY POUPON Dijon Mustard
1/4 tsp. ground white pepper
Dash Ground nutmeg
2 cans (14-1/2 oz. each) chicken broth
2 cups milk
4 cups KRAFT Shredded Cheddar Cheese
40 PREMIUM Saltine Crackers
Total time: 35 min

1. Cook onion in margarine in large saucepan on medium-high heat until tender.
2. Blend in flour, mustard, pepper and nutmeg until smooth. Gradually stir in broth and milk; cook, stirring constantly until mixture thickens and begins to boil. Remove from heat.
3. Add cheese, stirring until melted and mixture is smooth and creamy. Serve hot with crackers.