For the fourth month in a row, world prices for a basket of New Zealand's export commodities rose last month.
But for the fourth month in a row a resurgent New Zealand dollar swallowed those gains and then some.
ANZ's commodity index rose 0.2 per cent last month in world price terms, but fell 5 per cent in New Zealand dollar terms to be 17 per cent lower than a year ago and at its lowest level for 2 years.
Eight of the commodities in the index rose, led by sawn timber (up 13.5 per cent from May) and aluminium (up 7.9 per cent). But among the five that fell were dairy products, which make up 40 per cent of the ANZ index. The dairy products index fell 3.3 per cent to be back where it was in late 2006 in world and NZ dollar terms. It is down 47 per cent from its 2007 highs.
Resurgent dollar swallows gains in export commodities
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