Atten Babler Dairy FX Indexes – Mar ’15
U.S. dollar (USD) strength continued within the Atten Babler Commodities Dairy Foreign Exchange (FX) Indexes during Feb ’15. The USD/Dairy Exporter FX Index reached a 12 and a half year high while the USD/Dairy Importer FX Index and USD/Domestic Dairy Importer FX Index reached record high values.
USD/Dairy Exporter FX Index:
The USD/Dairy Exporter FX Index increased 2.2 points in Feb ’15 to a value of 119.1, a 12 and a half year high. The USD/Dairy Exporter FX Index has increased 19.2 points since the beginning of 2014 and 10.1 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, 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 2.4 points in Feb ’15 to a new high value of 136.2. The USD/Dairy Importer FX Index has increased 29.9 points since the beginning of 2014 and 27.8 points throughout the past six months. A strengthening USD/Dairy Importer FX Index results in less purchasing power for major dairy importing countries, 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/Domestic Dairy Importer FX Index:
The USD/Domestic Dairy Importer FX Index increased 2.9 points in Feb ’15 to a new high value of 135.1. The USD/Domestic Dairy Importer FX Index has increased 13.4 points since the beginning of 2014 and 11.8 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, ultimately resulting in less foreign demand for U.S. products, all other factors being equal. USD appreciation against the Mexican peso, Ukrainian hryvnia and Canadian dollar 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 2.4 points in Feb ’15 to a new high value of 136.2. The USD/Dairy Importer FX Index has increased 29.9 points since the beginning of 2014 and 27.8 points throughout the past six months. A strengthening USD/Dairy Importer FX Index results in less purchasing power for major dairy importing countries, 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/Domestic Dairy Importer FX Index:
The USD/Domestic Dairy Importer FX Index increased 2.9 points in Feb ’15 to a new high value of 135.1. The USD/Domestic Dairy Importer FX Index has increased 13.4 points since the beginning of 2014 and 11.8 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, ultimately resulting in less foreign demand for U.S. products, all other factors being equal. USD appreciation against the Mexican peso, Ukrainian hryvnia and Canadian dollar has accounted for the majority of the gains since the beginning of 2014.