It seems that disagreement in the US Congress about the “huge” funding package of the New President has caused many financial markets and world goods to be affected erratically.
Robusta London Tuesday / 2021 chart session on February 3, 2021
Ending the session, Robusta coffee prices on ICE Europe – London reversed and recovered. Futures for delivery in March increased 24 USD, to 1,223 USD / ton and futures for May delivery increased 25 USD, to 1,343 USD / ton, the very significant increases. Trading volume quite high above average.
Similarly, Arabica coffee prices on the ICE US – New York floor are in the same upward trend. Futures for delivery in March increased 0.55 cents, to 123.95 cents / lb and futures for May delivery also increased 0.55 cents, to 126.1 cents / lb, the slight increase. Trading volume maintained quite high above average.
The price of coffee beans in the Central Highlands provinces increased by 300-400 VND, up fluctuating in the framework of 31,300 – 31,800 VND / kg.
Export Robusta coffee price type 2, 5% broken black, stood at 1,423 USD / ton, FOB – HCM, with the difference plus 70-80 USD / ton in term of May in London.
Reais copper fell slightly 0.28%, down to 1 USD = 5.3690 Reais in a volatile session of foreign investors with volatility surrounding the new US funding package still weighed on the market.
Coffee prices reversed to recover when information from the latest Reuters survey caused the impact. In particular, the market is more concerned that the supply of Robusta coffee from Vietnam will be slowing down because the epidemic of covid-19 new strains has begun to spread in many localities, students have been ordered to leave school, the public process, while the week-long traditional New Year holiday of Tan Suu is imminent.
According to the survey’s results ReutersThe price of Arabica coffee is expected to end in 2021 at 135 cents / lb, 5.3% higher than the level at the end of 2020. The main reason is still Brazil, the largest coffee producer in the world. on year for cyclic low output “Two years one”. This will lead to an 8.5 million bag shortfall in Arabica next season, even though it is expected to have an excess of 8 million bags in the current season.
English (giacaphe.com)
