Atten Babler Dairy FX Indices – Jul ’15
The Atten Babler Commodities Dairy Foreign Exchange (FX) Indices remained at record or near record high levels during Jun ’15. The USD/Dairy Exporter FX Index and USD/Domestic Dairy Importer FX Index each increased to new record highs while the USD/Domestic Dairy Importer Index increased to the fourth highest figure on record.
Global Dairy Net Trade:
Major net dairy exporters are led by New Zealand, followed by the EU-28, the U.S., Australia and Argentina (represented in green in the chart below). Major net dairy importers are led by China, followed by Russia, Mexico, Japan and Indonesia (represented in red in the chart below).
USD/Dairy Exporter FX Index:
The USD/Dairy Exporter FX Index increased 0.2 points in Jun ’15 to a new record high value of 123.2. The USD/Dairy Exporter FX Index has increased 23.3 points since the beginning of 2014 and 8.2 points throughout the past six months. A strengthening USD/Dairy Exporter FX Index reduces the competitiveness of U.S. dairy products relative to other exporting regions (represented in green in the Global Dairy Net Trade chart), ultimately resulting in less foreign demand for U.S. products, all other factors being equal. USD appreciation against the Argentine peso has accounted for the majority of the gains since the beginning of 2014.
USD/Dairy Importer FX Index:
The USD/Dairy Importer FX Index increased 3.8 points in Jun ’15 to a value of 132.0. The USD/Dairy Importer FX Index finished at the fourth highest figure on record and has increased 25.7 points since the beginning of 2014 and 3.7 points throughout the past six months. A strengthening USD/Dairy Importer FX Index results in less purchasing power for major dairy importing countries (represented in red in the Global Dairy Net Trade chart), making U.S. dairy products more expensive to import. USD appreciation against the Russian ruble has accounted for the majority of the gains since the beginning of 2014.
U.S. Dairy Export Destinations:
Major destinations for U.S. dairy exports are led by Mexico, followed by China, Canada, the Philippines and Indonesia.
USD/Domestic Dairy Importer FX Index:
The USD/Domestic Dairy Importer FX Index increased 1.8 points in Jun ’15 to a record high value of 138.3. The USD/Domestic Dairy Importer FX Index has increased 16.6 points since the beginning of 2014 and 7.4 points throughout the past six months. A strengthening USD/Domestic Dairy Importer FX Index results in less purchasing power for the traditional buyers of U.S. dairy products (represented in red in the U.S. Dairy Export Destinations chart), ultimately resulting in less foreign demand for U.S. products, all other factors being equal. USD appreciation against the Mexican peso, Iranian rial and Ukrainian hryvnia has accounted for the majority of the gains since the beginning of 2014.
USD/Dairy Exporter FX Index:
The USD/Dairy Exporter FX Index increased 0.2 points in Jun ’15 to a new record high value of 123.2. The USD/Dairy Exporter FX Index has increased 23.3 points since the beginning of 2014 and 8.2 points throughout the past six months. A strengthening USD/Dairy Exporter FX Index reduces the competitiveness of U.S. dairy products relative to other exporting regions (represented in green in the Global Dairy Net Trade chart), ultimately resulting in less foreign demand for U.S. products, all other factors being equal. USD appreciation against the Argentine peso has accounted for the majority of the gains since the beginning of 2014.
USD/Dairy Importer FX Index:
The USD/Dairy Importer FX Index increased 3.8 points in Jun ’15 to a value of 132.0. The USD/Dairy Importer FX Index finished at the fourth highest figure on record and has increased 25.7 points since the beginning of 2014 and 3.7 points throughout the past six months. A strengthening USD/Dairy Importer FX Index results in less purchasing power for major dairy importing countries (represented in red in the Global Dairy Net Trade chart), making U.S. dairy products more expensive to import. USD appreciation against the Russian ruble has accounted for the majority of the gains since the beginning of 2014.
U.S. Dairy Export Destinations:
Major destinations for U.S. dairy exports are led by Mexico, followed by China, Canada, the Philippines and Indonesia.
USD/Domestic Dairy Importer FX Index:
The USD/Domestic Dairy Importer FX Index increased 1.8 points in Jun ’15 to a record high value of 138.3. The USD/Domestic Dairy Importer FX Index has increased 16.6 points since the beginning of 2014 and 7.4 points throughout the past six months. A strengthening USD/Domestic Dairy Importer FX Index results in less purchasing power for the traditional buyers of U.S. dairy products (represented in red in the U.S. Dairy Export Destinations chart), ultimately resulting in less foreign demand for U.S. products, all other factors being equal. USD appreciation against the Mexican peso, Iranian rial and Ukrainian hryvnia has accounted for the majority of the gains since the beginning of 2014.