The impressive increase chain in New York has put Arabica coffee prices at a disadvantage, causing the market to have a technical adjustment to “take steam” …
Robusta London T5 / 2021 chart session on April 16, 2021
Ending the last session of the week, Robusta coffee prices on ICE Europe – London continued to decline. May spot futures decreased by 9 USD, down to 1,354 USD / ton and futures for July delivery also dropped by 9 USD, to 1,380 USD / ton, the significant reductions. Trading volume maintained at a moderate level.
Similarly, Arabica coffee prices on the ICE US – New York floor also reversed and decreased. May futures fell 3.55 cents, down 129.15 cents / lb and July futures fell 3.5 cents, to 131.2 cents / lb, the sharp decline. Trading volume quite high above mGermany medium.
The price of coffee beans in the Central Highlands provinces decreased by 100-200 VND, down fluctuating in the frame of 31,800 – 32,500 VND / kg.
Export Robusta coffee price type 2, 5% broken black, stood at 1,440 USD / ton, FOB – HCM, with a plus difference at 50-60 USD / ton in term of July in London.
Reais copper rose 0.74%, rate increased at 1 USD = 5.5850 Reais according to external risk sentiment, after long-term interest rates US Treasury continued to decline in line with general optimism of Wall Street with signs of strong recovery of the US economy.
Coffee prices fell due to a clear technical adjustment on both exchanges when New York had an impressive increase streak in the past few days, while London did not increase accordingly, so the difference was quite high. Arabica coffee prices are at a disadvantage.
Meanwhile, members of the Eurozone continued to restrict social activities due to the third outbreak of covid-19 epidemic. France continued to widen the gap for another 4 weeks, Germany filled most of the vacancies in hospitals as the number of infected people skyrocketed. Shops are closed, consumption concerns decline, economic recession is a major concern of “Old continent” at this moment.
The US Bean Coffee Association (GCA) reported inventories fell 1.92% in March, to 5,679,162 bags by the end of the month. This shows that the demand for coffee is somewhat flourishing in North America. However, Rabobank is concerned that the shortage of empty containers for export combined with the decline in output of this year’s Arabica crop could negatively impact Brazil’s export shipments in the second half of the year.
English (giacaphe.com)
