The pressure of cash demand for the upcoming traditional Tet holiday in Vietnam is not small…
Robusta chart London 3/2022 session on January 21, 2022
At the end of the last session of the week, the price of Robusta coffee on ICE Europe – London reversed to decrease. The March spot futures fell $14 to $2,213 per ton and the May delivery term fell $13 to $2,179 per ton, significant reductions. Trading volume below average.
Similarly, the price of Arabica coffee on the ICE US floor – New York continued to decline. The March spot futures fell another 5.75 cents to 237.90 cents/lb and the May delivery futures fell another 5.70 cents to 238.10 cents/lb, sharp declines. Trading volume very high above average.
The price of green coffee beans in the Central Highlands provinces decreased by 200-300 dong, to range from 39,500 to 39,900 dong/kg.
According to the consultant – analyst Safras & Mercados, although the production of coffee crop 2022/2023 is estimated at 63 million bags that are still unharvested, Brazilians have sold about 32% so far. While the market is forecasting a loss of revenue due to the negative impact of last year’s damaging frosts. What prompted them to sell strongly if not because of the price and pressure of the currency rate?
Due to the impact of the New York Stock Exchange, London’s price dropped, but this market still has short-term support when the island price structure is maintained.
However, traders in the Central Highlands local market are concerned whether London prices are likely to return to the prices of the last days of 2021. While farmers are still unwilling to sell at current prices even though Spending demand on the upcoming Lunar New Year period also puts a lot of pressure.
BBT (giacaphe.com)
