Information that Brazil’s main coffee growing regions will have rain in many places this weekend will cause the upward momentum to stall on both exchanges after setting record highs…
For the whole week 51, the London market had 3 increasing sessions and 2 decreasing sessions. The price of Robusta coffee for March delivery increased by a total of 12 USD, or 0.42%, to 2,837 USD/ton, and for May delivery, it increased by a total of 14 USD, or by 0.51%, to 2,766 USD/ton. tons, slight increases. Trading volume is average.
Similarly, the New York market also had 3 increasing sessions and 2 decreasing sessions. Arabica coffee futures for March delivery increased a total of 3.5 cents, or an increase of 1.85%, to 192.80 cents/lb and futures for May delivery increased a total of 3.45 cents, or an increase of 1.85 cents. %, to 190.25 cents/lb, slight increases. Trading volume is quite above average.
The price of green coffee in the Central Highlands market increased by 1,000 – 1,200 VND, fluctuating in the range of 67,000 – 68,000 VND/kg.
Spot demand has supported coffee futures prices to maintain their upward momentum. In addition, the commodity markets in general also have the support of somewhat more positive US economic indicators, causing Wall Street investors to increase their bets on the possibility that the Fed will not raise USD interest rates further but may start the interest rate cutting cycle from the beginning of 2024. Information that Brazil’s main coffee growing regions will have rain in many places over the weekend has slowed the upward momentum on both exchanges after setting record highs. continent due to dry weather in southern Brazil and concerns about supply delays when the Europe-Asia maritime transport route through the Suez Canal is interrupted.
The highlight of the week is the semi-annual report of the Foreign Agricultural Service (FAS) under the US Department of Agriculture (USDA) adjusting the 2023/2024 coffee crop output of producing and exporting countries. main coffee in the world. FAS has estimated global production in the 2023/2024 crop year will be around 174.30 million bags, while global demand is at 170.20 million bags, so there will be a global surplus of coffee in the crop year. This.
The latest Commitment of Traders (CFTC) report from the New York Arabica coffee market shows that short-term speculation by Money Management Funds increased their net long positions by 1.11% in the trading week to Thursday. Tuesday, November 12 to register to buy net at 32,549 lots. Meanwhile, long-term speculation of Index Funds increased their net buying position by 1.36%, registering a net purchase of 61,039 lots on the same day.
The latest Commitment of Traders (CFTC) report from the London Robusta coffee market shows that short-term speculation by Money Management Funds reduced net long positions by 4.02% in the same trading week as said above to down registered net buying at 32,047 lots, equivalent to 5,341,167 bags. This net long position has most likely increased following the more active trading period since then.
Robusta coffee inventories certified and monitored by the London exchange, as of Friday, December 22, increased by 660 tons, or 1.91% compared to a week earlier, to register at 35,220 tons ( about 587,000 bags, 60 kg bags), mainly coffee originating from Brazil.
Notification:
– Monday, December 25, futures markets are closed for Christmas holidays.
– Tuesday, December 26, the London market is off for Bank Day (Boxing Day), closed without trading; New York market opens late, after 7:30 p.m.
Anh Van (giacaphe.com)
