The report of FNC – Colombia has stimulated coffee futures prices on two exchanges to reverse to recover…
Robusta chart London T11/2022 session on September 6, 2022
At the end of the session, the price of Robusta coffee on ICE Europe – London reversed to recover. The November spot term increased by 45 USD, to 2,262 USD/ton and the term for delivery in January 2023 increased by 38 USD, to 2,247 USD/ton, significant increases. Trading volume above average.
Similarly, the price of Arabica coffee on the ICE US floor – New York has the same trend of recovery. December spot futures rose 1.45 cents to 230.25 cents/lb and March 2023 futures rose 1.55 cents to 223.65 cents/lb, significant gains. Trading volume above average.
The price of green coffee beans in the Central Highlands provinces increased by 700-800 VND, to ranged in the range of 48,200 – 48,700 VND/kg.
Stronger global risk aversion due to uncertainties in China and Europe coupled with the impending aggressiveness of major central banks continue to push USDX to new highs as emerging currencies continue to weaken, causing prices to fall. All goods continue to be expensive. The Reais fell 1.66% to $1 = R$5,239. The US economic indicators show that the Federal Reserve (Fed) will be more difficult at this month’s policy meeting when the Purchasing Managers’ Index (PMI) only reached 43.7 points in August. Meanwhile. , Russia cut off the source when burning for Europe right before the ECB policy meeting tomorrow, making the outlook for the Eurozone worse. US stocks reversed to decline again, the pound rose supported coffee prices.
The increase in the price of coffee on both floors was also contributed by the report of the National Coffee Federation (FNC) in Colombia on coffee production and export in August. Accordingly, coffee production in August increased. 3.72% over the same period last year. However, cumulative production in the first 11 months of the current crop year 2021/2022 has reached a total of 10.8 million bags, down 10.96% compared to the same period last year. According to FNC – Colombia, coffee exports in August fell sharply by 22.97% over the same period last year. Therefore, the accumulated exports of the first 11 months of the current coffee crop year 2021/2022 reached only 11.9 million bags, a decrease of 5.56% compared to the same period of the previous crop year. Colombia is the world’s leading producer and exporter of high-quality wet-processed Arabica coffee. The price of Colombian Arabica coffee in the external market currently has a plus difference of up to 40-50 cents/lb compared to the futures price, which is also difficult to buy because the supply has dried up.
ANhan Van (giacaphe.com)
