Funds and speculation stepped up the liquidation of net positions after the minutes announced by the FOMC to minimize risks during the US Thanksgiving holiday…
At the end of the trading session, the price of Robusta coffee on ICE Europe – London floor reversed and skyrocketed. January delivery futures increased by 33 USD, to 2,515 USD/ton and March delivery futures increased by 18 USD, to 2,439 USD/ton, very significant increases. Trading volume remains above average.
Similarly, the price of Arabica coffee on the ICE US – New York floor has the same increasing trend. March delivery futures increased 0.50 cents, to 169.05 cents/lb and May delivery futures increased 0.25 cents, to 167.95 cents/lb, slight increases. Trading volume is above average.
The price of green coffee in the Central Highlands provinces increased by 500 – 600 VND, fluctuating in the range of 58,700 – 59,100 VND/kg.
Coffee prices plummeted right from the beginning of the session after a report from the Foreign Agricultural Service (FAS) under the US Department of Agriculture (USDA) adjusted the output forecast of major producing countries in the new coffee crop year. 2023/2024. Meanwhile, the US Meteorological Agency predicts that the main coffee growing areas in southern Brazil will receive significant rainfall in the last week of November, which will support coffee trees to grow well in the new 2023/2024 crop year. Arabica coffee crop yields increase periodically “two years one” of Brazil, which fueled short selling on both coffee futures exchanges. However, the US Thanksgiving holiday (Thursday, November 23) has contributed to helping funds and speculations liquidate net positions to minimize risks in the remaining two sessions this week. The minutes released by the FOMC did not bring any clues that caused long-term US Treasury bond yields to quickly fall to their lowest level in two months, DXY fell, crude oil prices plummeted and coffee prices fell. Benefit from US stocks.
The General Department of Vietnam Customs announced preliminary data showing that coffee exports in the first half of November reached 36,968 tons (equivalent to 616,133 bags), bringing coffee exports in the first 11.5 months of 2023 to a total of 1 million. 33 million tons (about 22.23 million bags), down 10.25% over the same period last year. Meanwhile, data reported by ICE – London on November 22, showed that Robusta coffee inventory monitored by this floor decreased by 590 tons, or 1.48% compared to the previous day, down to 39,150 tons.
Notification: Today, Thursday, November 23, the New York market is closed for the American Thanksgiving holiday, closed without trading. London market closes 30 minutes early.
English (giacaphe.com)
