The reais rate continues to strengthen, which discourages Brazilians from selling agricultural products for export, contributing to preventing the flow of coffee to the consumer market.
Robusta chart London T5/2022 session on 04/04/2022
At the end of the first session of the week, the price of Robusta coffee on ICE Europe – London continued to decline. Spot futures in May decreased by 7 USD to 2,132 USD/ton and term for July delivery decreased by 8 USD to 2,122 USD/ton, slight decreases. Trading volume on average.
On the contrary, the price of Arabica coffee on the ICE US floor – New York continued the increase in the fifth session. The May spot futures added 2.20 cents to 230.60 cents/lb and the July delivery futures added 2.15 cents to 230.60 cents/lb, very significant gains. Trading volume very high above average.
The price of green coffee beans in the Central Highlands provinces decreased by 0-100 VND, to range from 40,500 to 41,200 VND/kg.
Coffee futures prices continued to be mixed as inventories increased “certification” at London Robusta coffee floor is still higher than Arabica coffee in New York. Besides, there is the support of the Reais after the Monetary Policy Committee (Copom) of Brazil continuously raised the basic interest rate to a high level, attracting a massive influx of foreign exchange capital, bringing the exchange rate to a high level. 2 years high. This discourages Brazilians from selling agricultural products for export because they will earn less in local currency, which has contributed to preventing the flow of coffee to the consumer market.
According to the preliminary report of the Brazilian trade agency, the export of coffee beans in March reached 3,385,200 bags, down 641,550 bags, or 15.93% lower than the same period last year. Although this data has also helped support the market during the period “County borders” but speculators are still waiting for the official report of analysis, detailing specific exports, which will be published soon to illustrate more accurately.
English (giacaphe.com)
