ANZ Commodity Index Drops 0.8% in April

The ANZ World Commodity Price Index fell 0.8% month-on-month in April, dragged down by a sharp 3.8% monthly drop in dairy prices. Overall dairy prices are now down 7.5% year-on-year, reflecting strong global supply. Meat and fibre prices edged up 0.2% to another record level, while the horticulture index held flat. Forestry prices rose 7.1% month-on-month and are up 9.2% year-on-year, partly reflecting higher production and transport costs being passed on to customers. Aluminium was the standout performer, rising 6.3% month-on-month to a record high and surging 50.9% year-on-year, after a large UAE smelter was damaged in late March, tightening global supply. The NZD Commodity Price Index also fell 0.7% month-on-month in April, with the New Zealand dollar little changed between March and April.