Atten Babler Dairy FX Indices – Mar ’16
The Atten Babler Commodities Dairy Foreign Exchange (FX) Indices continued to increase to new record high levels during Feb ’16. The USD/Dairy Exporter FX Index increased the most during the month, followed by the USD/Domestic Dairy Importer FX Index and the USD/Dairy Importer 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 4.8 points in Feb ’16 to a new record high value of 152.6. The USD/Dairy Exporter FX Index has increased 52.7 points since the beginning of 2014 and 26.0 points throughout the past six months. A strong 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 Feb ’16 was led by gains against the Argentine peso. USD declines were exhibited against the Australian dollar, New Zealand dollar and euro.
USD/Dairy Importer FX Index:
The USD/Dairy Importer FX Index increased 0.4 points in Feb ’16 to a new record high value of 155.0. The USD/Dairy Importer FX Index has increased 48.8 points since the beginning of 2014 and 11.6 points throughout the past six months. A strong 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 Feb ’16 was led by gains against the Russian ruble, followed by USD appreciated against the Mexican peso. USD declines were exhibited against the Brazilian real, Japanese yen and Indonesian rupiah.
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 0.6 points in Feb ’16 to a new record high value of 151.0. The USD/Domestic Dairy Importer FX Index has increased 29.4 points since the beginning of 2014 and 6.9 points throughout the past six months. A strong 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 Canadian dollar has accounted for the majority of the gains since the beginning of 2014.
USD appreciation within the USD/Domestic Dairy Importer FX Index during Feb ’16 was led by gains against the Mexican peso, followed by USD appreciated against the Ukrainian hryvnia. USD declines were exhibited against the Japanese yen, Indonesian rupiah and Canadian dollar.
USD/Dairy Exporter FX Index:
The USD/Dairy Exporter FX Index increased 4.8 points in Feb ’16 to a new record high value of 152.6. The USD/Dairy Exporter FX Index has increased 52.7 points since the beginning of 2014 and 26.0 points throughout the past six months. A strong 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 Feb ’16 was led by gains against the Argentine peso. USD declines were exhibited against the Australian dollar, New Zealand dollar and euro.
USD/Dairy Importer FX Index:
The USD/Dairy Importer FX Index increased 0.4 points in Feb ’16 to a new record high value of 155.0. The USD/Dairy Importer FX Index has increased 48.8 points since the beginning of 2014 and 11.6 points throughout the past six months. A strong 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 Feb ’16 was led by gains against the Russian ruble, followed by USD appreciated against the Mexican peso. USD declines were exhibited against the Brazilian real, Japanese yen and Indonesian rupiah.
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 0.6 points in Feb ’16 to a new record high value of 151.0. The USD/Domestic Dairy Importer FX Index has increased 29.4 points since the beginning of 2014 and 6.9 points throughout the past six months. A strong 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 Canadian dollar has accounted for the majority of the gains since the beginning of 2014.
USD appreciation within the USD/Domestic Dairy Importer FX Index during Feb ’16 was led by gains against the Mexican peso, followed by USD appreciated against the Ukrainian hryvnia. USD declines were exhibited against the Japanese yen, Indonesian rupiah and Canadian dollar.