Atten Babler Ethanol FX Indices – Jan ’16
The Atten Babler Commodities Ethanol Foreign Exchange (FX) Indices remained at or near record high levels during Dec ’15. The USD/Ethanol Producer FX Index increased to a new record high while the USD/Domestic Ethanol Importer FX Index increased to the highest figure experienced in the past 13 years.
Global Ethanol Producers:
Major ethanol producers are led by the U.S., followed by Brazil, the EU-28, China, India and Canada.
USD/Ethanol Producer FX Index:
The USD/Ethanol Producer FX Index increased 1.5 points in Dec ’15 to a new record high value of 131.8. The USD/Ethanol Producer FX Index has increased 25.5 points since the beginning of 2014 and 12.4 points throughout the past six months. A strengthening USD/Ethanol Producer FX Index reduces the competitiveness of U.S. ethanol relative to other major producing regions (represented in green in the Global Ethanol Producers chart), ultimately resulting in less foreign demand, all other factors being equal. USD appreciation against the Brazilian real has accounted for the majority of the gains since the beginning of 2014.
USD appreciation within the USD/ Ethanol Producer FX Index during Dec ’15 was led by gains against the Brazilian real, followed by USD appreciated against the Canadian dollar. USD declines were exhibited against the euro.
U.S. Ethanol Export Destinations:
Major destinations for U.S. dairy exports are led by Canada, followed by the Philippines, Brazil, the United Arab Emirates, Peru and Mexico.
USD/Domestic Ethanol Importer FX Index:
The USD/Domestic Ethanol Importer FX Index increased 2.3 points in Dec ’15 to a value of 116.3, which was the highest figure experienced in the past 13 years. The USD/Domestic Ethanol Importer FX has increased 24.3 points since the beginning of 2014 and 10.7 points throughout the past six months. A strengthening USD/Domestic Ethanol Importer FX Index results in less purchasing power for the traditional buyers of U.S. ethanol (represented in red in the U.S. Ethanol Export Destinations chart), ultimately resulting in less foreign demand, all other factors being equal. USD appreciation against the Canadian dollar and the Brazilian real has accounted for the majority of the gains since the beginning of 2014.
USD appreciation within the USD/Domestic Ethanol Importer FX Index during Dec ’15 was led by gains against the Canadian dollar, followed by USD appreciated against the Brazilian real, Mexican peso and Peruvian nuevo sol.
USD/Ethanol Producer FX Index:
The USD/Ethanol Producer FX Index increased 1.5 points in Dec ’15 to a new record high value of 131.8. The USD/Ethanol Producer FX Index has increased 25.5 points since the beginning of 2014 and 12.4 points throughout the past six months. A strengthening USD/Ethanol Producer FX Index reduces the competitiveness of U.S. ethanol relative to other major producing regions (represented in green in the Global Ethanol Producers chart), ultimately resulting in less foreign demand, all other factors being equal. USD appreciation against the Brazilian real has accounted for the majority of the gains since the beginning of 2014.
USD appreciation within the USD/ Ethanol Producer FX Index during Dec ’15 was led by gains against the Brazilian real, followed by USD appreciated against the Canadian dollar. USD declines were exhibited against the euro.
U.S. Ethanol Export Destinations:
Major destinations for U.S. dairy exports are led by Canada, followed by the Philippines, Brazil, the United Arab Emirates, Peru and Mexico.
USD/Domestic Ethanol Importer FX Index:
The USD/Domestic Ethanol Importer FX Index increased 2.3 points in Dec ’15 to a value of 116.3, which was the highest figure experienced in the past 13 years. The USD/Domestic Ethanol Importer FX has increased 24.3 points since the beginning of 2014 and 10.7 points throughout the past six months. A strengthening USD/Domestic Ethanol Importer FX Index results in less purchasing power for the traditional buyers of U.S. ethanol (represented in red in the U.S. Ethanol Export Destinations chart), ultimately resulting in less foreign demand, all other factors being equal. USD appreciation against the Canadian dollar and the Brazilian real has accounted for the majority of the gains since the beginning of 2014.
USD appreciation within the USD/Domestic Ethanol Importer FX Index during Dec ’15 was led by gains against the Canadian dollar, followed by USD appreciated against the Brazilian real, Mexican peso and Peruvian nuevo sol.