Atten Babler Dairy FX Indices – Oct ’15
The Atten Babler Commodities Dairy Foreign Exchange (FX) Indices continued to increase to new record high levels during Sep ’15. The USD/Dairy Importer FX Index increased the most throughout the month, followed by the USD/Domestic Dairy Importer FX Index and the USD/Dairy Exporter FX Index.
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 1.7 points in Sep ’15 to a new record high value of 128.3. The USD/Dairy Exporter FX Index has increased 28.5 points since the beginning of 2014 and 7.6 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 appreciation within the USD/Dairy Exporter FX Index during Sep ’15 was led by gains against the New Zealand dollar, followed by USD appreciated against the Argentine peso and the Australian dollar.
USD/Dairy Importer FX Index:
The USD/Dairy Importer FX Index increased 3.2 points in Sep ’15 to a new record high value of 146.5. The USD/Dairy Importer FX Index has increased 40.2 points since the beginning of 2014 and 11.4 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.
USD appreciation within the USD/Dairy Importer FX Index during Sep ’15 was led by gains against the Russian ruble, followed by USD appreciated against the Brazilian real, Indonesian rupiah, Mexican peso and Algerian dinar.
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 2.4 points in Sep ’15 to a new record high value of 146.5. The USD/Domestic Dairy Importer FX Index has increased 24.8 points since the beginning of 2014 and 9.6 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 and Iranian rial has accounted for the majority of the gains since the beginning of 2014.
USD appreciation within the USD/Domestic Dairy Importer FX Index during Sep ’15 was led by gains against the Mexican peso, followed by USD appreciated against the Indonesian rupiah, Brazilian real, Malaysian ringgit and Vietnamese dong.
USD/Dairy Exporter FX Index:
The USD/Dairy Exporter FX Index increased 1.7 points in Sep ’15 to a new record high value of 128.3. The USD/Dairy Exporter FX Index has increased 28.5 points since the beginning of 2014 and 7.6 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 appreciation within the USD/Dairy Exporter FX Index during Sep ’15 was led by gains against the New Zealand dollar, followed by USD appreciated against the Argentine peso and the Australian dollar.
USD/Dairy Importer FX Index:
The USD/Dairy Importer FX Index increased 3.2 points in Sep ’15 to a new record high value of 146.5. The USD/Dairy Importer FX Index has increased 40.2 points since the beginning of 2014 and 11.4 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.
USD appreciation within the USD/Dairy Importer FX Index during Sep ’15 was led by gains against the Russian ruble, followed by USD appreciated against the Brazilian real, Indonesian rupiah, Mexican peso and Algerian dinar.
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 2.4 points in Sep ’15 to a new record high value of 146.5. The USD/Domestic Dairy Importer FX Index has increased 24.8 points since the beginning of 2014 and 9.6 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 and Iranian rial has accounted for the majority of the gains since the beginning of 2014.
USD appreciation within the USD/Domestic Dairy Importer FX Index during Sep ’15 was led by gains against the Mexican peso, followed by USD appreciated against the Indonesian rupiah, Brazilian real, Malaysian ringgit and Vietnamese dong.