To peel peaches, submerge in boiling water 20 seconds. Remove skin with fingers or a paring knife. Split, pit & cut flesh into 3/4" cubes. Arrange single layer on baking sheet lined with waxed paper & freeze until solid. Once frozen, fruit can be used immediately or frozen for several months, wrapped airtight. Put half of frozen peaches & half of sugar in food processor fitted with metal blade. Pulse machine on/off several times to chop fruit, then process continually until peaches are minced, then pureed. Set aside. Repeat with remaining half of peaches & sugar. Reture first half to workbowl. Add raspberries, fruit spread & dry milk. Process until very smooth, about 1-2 minutes. Can be served immediately as a soft frozen dessert or frozen. If frozen solid, let it rest about 15-30 minutes on counter so texture is more appealing & it has softened enough to scoop. If ice crystals form during freezing, let soften just to the point where it can be spooned back into workbowl & reprocessed until smooth again.