Ekonomi, Politika & Finans Araştırmaları Dergisi, vol.7, no.Özel Sayı, pp.45-60, 2022 (Peer-Reviewed Journal)
Contractions in production volume and supply chain disruption experienced by all
economies in recent years caused by the Covid-19 epidemic or geopolitical tensions
together with the factors such as food safety and climate change have been effect
instability in agricultural product prices. For these reasons, compulsory
transformations in all sectors or disruptions in the markets are also observed in the
food sector. This study investigates the causality between the Electronic Warehouse
Receipt (EWR) index for Cereal, Wheat, Barley, and Corn products calculated by the
Turkish Mercantile Exchange (TMEX) with the US Dollar Index (DXY) and Dollar
Lira (USD/TRY) exchange rate using daily datasets for the period 01.04.2021-
09.05.2022 with the Toda-Yamamoto causality test and the Hatemi-J asymmetric
causality test for the existence of asymmetric information. The results provide
evidence of bi-directional causality between the Dollar Lira (USD/TRY) rate and the
Grain index and a uni-directional causality from the Dollar Lira (USD/TRY) to the
wheat index, barley index, and corn index. Moreover; it has been concluded that the
Wheat index reacts with a positive shock if there is a negative shock in the US Dollar
Index (DXY) and Dollar Lira (USD/TRY).