Export commodity prices jump 11.7% on weaker NZ$ (Update 1)

New Zealand's export commodity prices jumped 10.5% in world price terms in November, the latest ANZ Commodity Price Index shows. In New Zealand dollar terms, a weaker NZ$ over the month meant prices rose 11.7%, which was the biggest increase in the series to date, ANZ said. (Update 1 includes ANZ comments.) The rise was led by a continued strength in dairy prices which are at their highest level, in world price terms, since August 2008. In New Zealand dollar terms, dairy prices are back to levels not seen since November 2008. Here are ANZ's comments on the latest results:

A double-digit increase in commodity prices. The ANZ Commodity Price Index surged higher in November, underpinned by a jump in dairy prices. The index increased 10.5 percent in the month, the second largest monthly increase on record. The index has recovered 39 percent from the low-point reached in February and is now 17 percent higher than where it was a year ago "“ the first positive annual rate of change since August 2008. The milk run continues. Prices for eight commodities recorded a rise in November, while prices for three were weaker. International dairy prices leapt 22 percent in November. Dairy prices are currently 75 percent higher than the low point measured in February, but would need to rise by another third to return to the highs recorded two years ago. Wool gets a boost. The rise in dairy prices overshadowed a 8.8 percent increase in wool prices, which has sprung back to the levels recorded a year ago, after dropping by a third in the interim. Other price gains, ranging between 3-4½ percent, were noted for wood pulp, aluminium, sawn timber, beef and skins. Logs were the other commodity to post a price rise in November, lifting 0.7 percent. Lamb overcooked. Lamb prices retraced 1.4 percent in November, after hitting an all-time high the previous month. Venison and seafood prices eased 0.7 and 0.3 percent, respectively. Kiwifruit and apple prices were unchanged, following the conclusion of the Northern Hemisphere export season. Kiwi caught. The New Zealand dollar weakened in the month of November. This resulted in a stronger lift in commodity prices when converted into local prices. Consequently, the NZ Dollar Commodity Price Index recorded an 11.7 percent increase, which is the strongest monthly gain in the series to date.