The market is worried that Brazil will not have rain to relieve the dry heat and the pressure to harvest crops from major Robusta producing countries is starting to weigh on the futures market…
At the end of the first trading session of the week, Robusta coffee prices on ICE Europe – London continued the downward trend. January delivery futures decreased by 16 USD, to 2,505 USD/ton and March delivery futures decreased by 12 USD, to 2,437 USD/ton, significant decreases. Trading volume is above average.
On the contrary, the price of Arabica coffee on ICE US – New York floor reversed to increase. March delivery futures increased by 4.50 cents, to 171.15 cents/lb and May delivery futures increased by 3.85 cents, to 170.40 cents/lb, quite strong increases. Trading volume remains well above average.
The price of green coffee in the Central Highlands provinces decreased by 200 – 300 VND, fluctuating in the range of 58,500 – 59,100 VND/kg.
The forecast of rainy weather from the weekend in Brazil that will dispel the currently extremely dry heat did not happen as expected, causing speculators on the New York stock exchange to rush back to buy. However, forecasts still maintain the possibility of rain in the coming days.
ICE – London inventory report data yesterday, Monday November 20, increased by 2.13% compared to the previous day, up to 39,310 tons (about 655,167 bags, 60 kg bags). While the market is watching the world’s largest Robusta producer is conducting the harvest of the new 2023/2024 crop year with an estimate of approximately 30 million bags. Uganda, the world’s fourth largest Robusta producer, reported a 3.4% increase in October exports over the same period, further pulling Robusta futures prices down further.
English (giacaphe.com)
