August US consumer price index (CPI) beat analysts’ forecasts, ending the cycle of optimism that Wall Street has been waiting for, will reduce the pace of monetary tightening driven by the Fed…
Robusta chart London T11/2022 session on September 13, 2022
At the end of the session, the price of Robusta coffee on ICE Europe – London continued to decline. The November delivery term decreased by 24 USD, to 2,239 USD/ton and the delivery term in January 2023 decreased by 22 USD to 2,230 USD/ton, significant reductions. Trading volume stay below average.
Similarly, the price of Arabica coffee on the ICE US floor – New York has a downward trend. December spot futures fell another 4.05 cents to 220.70 cents/lb and March 2023 futures fell another 3.75 cents to 215.45 cents/lb, significant reductions. Trading volume above average.
The price of green coffee beans in the Central Highlands provinces decreased by 400-500 dong, down to the range of 47,800-48,400 dong/kg.
The US consumer price index (CPI) report in August dropped for the second month in a row (inflation increased by 0.1% compared to July) disappointed the market and raised concerns about the Federal Reserve. The US (Fed) will strongly raise interest rates at the executive meeting next week on August 20 + 21. It seems that the 0.75% increase has been agreed by the majority, with odds up to 90%. In the context of the global energy crisis, the price of crude oil fell to below 90 USD/barrel and workers in many countries took to the streets to protest because consumer prices are currently too expensive. .
Many leading economic experts have voiced that the simultaneous increase of the basic monetary interest rate of many central banks in the world will contribute to the worsening of the global economic recession.
US stocks fell, USDX bounced back, causing emerging currencies to drop in value. The Reais rate fell 1.8% to 1 USD = 5.1890 R$.
Analysts fear that the price of Robusta coffee futures in London is likely to return to $ 2,200 in recent days.
ANhan Van (giacaphe.com)
