The ANZ World Commodity Price Index fell 0.4% month over month in August, weighed down by weaker beef and butter prices, according to a Thursday report from ANZ Research.
Over the past year, the index declined 0.6%. Beef prices in the US fell from record levels over the past two months, on the back of a surge in imports and key policy changes by the US government.
Dairy prices climbed 1.3% sequentially during the month and were down over 10.5% annually, with skim milk powder the leading performer in August. Over the past year, skim milk powder prices were up 21.6% while rising 6.2% month over month. Whole milk powder increased 2.4% on a monthly basis, offsetting a 3% fall on butter.
Meanwhile, the meat and fiber index declined 3.3% from July, falling for a second consecutive month. Wool prices fell 3.8% month over month, but started to recover towards the end of August, per the report. Lamb prices were steady.
The horticulture index fell 0.6% month over month in August, with weaker apple prices offsetting stronger kiwifruit prices. The index was down 0.4% on an annual basis.
The forestry index was up just 0.5% in the month. Log prices have been unusually steady over the past two years despite a high level of historical volatility, the bank added.
Aluminum prices climbed 3.1% month over month. Aluminum production and exports out of the Middle East remain limited by the conflict, impacting global supply.