Commodity prices rise for 6th straight month, but fall in terms

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New Zealand commodity prices rose for a sixth straight month in January, led by increasing pelt prices, though the strength of the kiwi dollar ate into the benefits for local producers.

The ANZ Commodity Price Index rose 0.3 percent last month to a 10-month high 272.6. In local currency terms, the index fell 0.5 percent to 177.2, its second monthly decline. The price of pelts climbed 5 percent to a 12-month high, followed by a 3 percent gain in log prices and a 2 percent increase in skim milk powder prices.

Butter and casein prices advanced 1 percent, while wool and timber prices increased a quarter of a percentage point. Prices for seafood, wood pulp, fruit, cheese and whole milk powder were unchanged.

"The New Zealand dollar commodity price index has remained in a relatively tight range over the past five months," economist Steve Edwards says in his commentary.

"The NZD price of beef, dairy and aluminium hasn't fluctuated very much over this period, but the NZD price of logs, lamb and seafood exports have slipped to their lowest in at least three years," he says.

The kiwi dollar rose as high as 76.46 on a trade-weighted basis, the highest level since mid-2007, and recently traded at 76.17.

China and the US showed the biggest increase in demand for New Zealand exports in the 2012 calendar year, with gains of $975 million and $245 million, respectively.

China increased its annual purchases of New Zealand sheepmeat by $151 million to $424 million and of milk powder by $337 million to $2.09 billion, according to ANZ figures. The US ramped up its imports of New Zealand beef by an annual $113 million to $911 million.

(BusinessDesk)


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NZ Market Snapshot

Forex

Sym Price Change
USD 0.6365 -0.0022 -0.34%
AUD 0.9118 0.0016 0.18%
EUR 0.5713 -0.0031 -0.54%
GBP 0.4176 -0.0011 -0.26%
HKD 4.9320 -0.0187 -0.38%
JPY 75.7800 -0.9200 -1.20%

Commods

Commodity Price Change Time
Gold Index 1124.0 -8.750 2015-09-03T00:
Oil Brent 51.5 -1.850 2015-09-03T00:
Oil Nymex 47.3 0.440 2015-09-03T00:
Silver Index 14.7 0.040 2015-09-03T00:

Indices

Symbol Open High Last %
NZX 50 5569.7 5573.0 5569.7 -0.41%
NASDAQ 4763.1 4800.2 4750.0 -0.35%
DAX 10216.2 10216.2 10317.8 -1.87%
DJI 16364.3 16550.1 16351.4 0.14%
FTSE 6194.1 6194.1 6194.1 -1.75%
HKSE 21158.9 21174.9 20934.9 -0.45%
NI225 18312.1 18312.1 18182.4 -2.15%