Coffee futures prices are adjusted after a series of hot increases and weather forecasts that the main growing areas in Brazil are about to have rain will have a negative impact on the markets in the short term…
At the end of the first trading session of the week, Robusta coffee prices on ICE Europe – London floor adjusted after a series of strong increases. The January delivery term decreased by 33 USD, to 2,824 USD/ton and the March delivery term decreased by 29 USD, to 2,796 USD/ton, very significant reductions. Trading volume is above average.
On the contrary, Arabica coffee prices on ICE US – New York floor adjusted up. March delivery futures increased 1.80 cents, to 191.10 cents/lb and May delivery futures increased 1.25 cents, to 188.05 cents/lb, significant increases. Trading volume remains above average.
The price of green coffee in the Central Highlands provinces decreased by 500 – 600 VND, fluctuating in the range of 65,600 – 66,300 VND/kg. Fresh coffee prices trade around 14,000 VND/kg.
Robusta coffee prices are often adjusted downward after a series of very strong increases last week. In addition, weather reports from Conilon Robusta growing areas in Brazil had scattered rains over the weekend, which also helped ease the heat. Although Arabica coffee prices recovered losses at the beginning of the session to increase slightly at the end of the session when Somar Met. Southeast Brazil reported rain during the week, but rainfall was only 65% of the historical average. The National Atmospheric and Oceanic Administration (NAOO) predicts that this week and next week there will be rain across Brazil. Although the rainfall is still not abundant, it will also contribute to improving crop prospects. This will be a factor that negatively impacts coffee prices in the short term.
The largest Robusta coffee cooperative in Brazil, Cooabriel, has reported above-average temperatures and drier-than-normal weather conditions in the main growing regions of Espirito Santo state that could negatively impact the crop’s output. Coffee 2024/2025 is coming. It is estimated that this crop year’s average output will reach 22 million bags of Conilon Robusta coffee.
English (giacaphe.com)
