Atten Babler Meat FX Indices – Sep ’16
The Atten Babler Commodities Meat Foreign Exchange (FX) Indices declined throughout Aug ’16, but remained near record highs. The USD/Meat Exporter FX Index declined the most throughout the month, followed by the USD/Meat Importer FX Index and the USD/Domestic Meat Importer FX Index.
Global Meat Net Trade:
Major net meat exporters are led by Brazil, followed by the U.S., the EU-28, India and Australia (represented in green in the chart below). Major net meat importers are led by Japan, followed by Russia, Mexico, Hong Kong and Saudi Arabia (represented in red in the chart below).
USD/Meat Exporter FX Index:
The USD/Meat Exporter FX Index declined 1.4 points during Aug ’16, finishing at a value of 87.9. The USD/Meat Exporter FX Index has declined 14.1 points throughout the past six months but remains up 56.0 points since the beginning of 2014. A strong USD/Meat Exporter FX Index reduces the competitiveness of U.S. meat relative to other exporting regions (represented in green in the Global Meat Net Trade chart), ultimately resulting in less foreign demand, all other factors being equal. USD appreciation against the Belarusian ruble and Argentine peso has accounted for the majority of the gains since the beginning of 2014.
Appreciation against the USD within the USD/Meat Exporter FX Index during Aug ’16 was led by gains by the Brazilian real, followed by gains by the euro, Uruguayan peso, Argentine peso and Australian dollar.
USD/Meat Importer FX Index:
The USD/Meat Importer FX Index declined 0.5 points during Aug ’16, finishing at a value of 125.5. The USD/Meat Importer FX Index remained at the fifth highest figure on record and has increased 64.3 points since the beginning of 2014 and 10.1 points throughout the past six months. A strong USD/Meat Importer FX Index results in less purchasing power for major meat importing countries (represented in red in the Global Meat Net Trade chart), making U.S. meat more expensive to import. USD appreciation against the Venezuelan bolivar and Angolan kwanza has accounted for the majority of the gains since the beginning of 2014.
Appreciation against the USD within the USD/Meat Importer FX Index during Aug ’16 was led by gains by the Japanese yen, followed by gains by the South African rand, South Korean won and Mexican peso. USD gains were exhibited against the Russian ruble.
U.S. Meat Export Destinations:
Major destinations for U.S. meat exports are led by Mexico, followed by Japan, China, Canada, and Hong Kong.
USD/Domestic Meat Importer FX Index:
The USD/Domestic Meat Importer FX Index declined 0.5 points in Aug ’16, finishing at a value of 100.8. The USD/Domestic Meat Importer FX Index has declined 1.2 points throughout the past six months but remains up 54.4 points since the beginning of 2014. A strong USD/Domestic Meat Importer FX Index results in less purchasing power for the traditional buyers of U.S. meat (represented in red in the U.S. Meat Export Destinations chart), ultimately resulting in less foreign demand, all other factors being equal. USD appreciation against the Angolan kwanza and Mexican peso has accounted for the majority of the gains since the beginning of 2014.
Appreciation against the USD within the USD/Domestic Meat Importer FX Index during Aug ’16 was led by gains by the Japanese yen, followed by gains by the Mexican peso and South Korean won. USD gains were exhibited against the Congolese franc and Russian ruble.
USD/Meat Exporter FX Index:
The USD/Meat Exporter FX Index declined 1.4 points during Aug ’16, finishing at a value of 87.9. The USD/Meat Exporter FX Index has declined 14.1 points throughout the past six months but remains up 56.0 points since the beginning of 2014. A strong USD/Meat Exporter FX Index reduces the competitiveness of U.S. meat relative to other exporting regions (represented in green in the Global Meat Net Trade chart), ultimately resulting in less foreign demand, all other factors being equal. USD appreciation against the Belarusian ruble and Argentine peso has accounted for the majority of the gains since the beginning of 2014.
Appreciation against the USD within the USD/Meat Exporter FX Index during Aug ’16 was led by gains by the Brazilian real, followed by gains by the euro, Uruguayan peso, Argentine peso and Australian dollar.
USD/Meat Importer FX Index:
The USD/Meat Importer FX Index declined 0.5 points during Aug ’16, finishing at a value of 125.5. The USD/Meat Importer FX Index remained at the fifth highest figure on record and has increased 64.3 points since the beginning of 2014 and 10.1 points throughout the past six months. A strong USD/Meat Importer FX Index results in less purchasing power for major meat importing countries (represented in red in the Global Meat Net Trade chart), making U.S. meat more expensive to import. USD appreciation against the Venezuelan bolivar and Angolan kwanza has accounted for the majority of the gains since the beginning of 2014.
Appreciation against the USD within the USD/Meat Importer FX Index during Aug ’16 was led by gains by the Japanese yen, followed by gains by the South African rand, South Korean won and Mexican peso. USD gains were exhibited against the Russian ruble.
U.S. Meat Export Destinations:
Major destinations for U.S. meat exports are led by Mexico, followed by Japan, China, Canada, and Hong Kong.
USD/Domestic Meat Importer FX Index:
The USD/Domestic Meat Importer FX Index declined 0.5 points in Aug ’16, finishing at a value of 100.8. The USD/Domestic Meat Importer FX Index has declined 1.2 points throughout the past six months but remains up 54.4 points since the beginning of 2014. A strong USD/Domestic Meat Importer FX Index results in less purchasing power for the traditional buyers of U.S. meat (represented in red in the U.S. Meat Export Destinations chart), ultimately resulting in less foreign demand, all other factors being equal. USD appreciation against the Angolan kwanza and Mexican peso has accounted for the majority of the gains since the beginning of 2014.
Appreciation against the USD within the USD/Domestic Meat Importer FX Index during Aug ’16 was led by gains by the Japanese yen, followed by gains by the Mexican peso and South Korean won. USD gains were exhibited against the Congolese franc and Russian ruble.