Robusta coffee prices continue to decline after previously increasing too much as investors look for coffee beans from other manufacturers to replace…
At the end of the trading session, Robusta coffee prices on ICE Europe – London continued to decline. March delivery futures decreased another 93 USD, to 3,063 USD/ton and May delivery futures decreased another 63 USD, to 2,899 USD/ton, sharp drops. Trading volume is quite above average.
On the contrary, Arabica coffee prices on ICE US – New York floor adjusted up. March delivery futures increased 0.75 cents, to 179.95 cents/lb and May delivery futures increased 1 cent, to 177.00 cents/lb, significant increases. Trading volume remains well above average.
The price of green coffee in the Central Highlands provinces decreased by 900 – 1,000 VND, fluctuating in the range of 70,400 – 71,100 VND/kg.
Coffee futures markets adjusted in mixed directions, while Robusta – London coffee prices continued to move away from the 28-year peak, after roasters switched to sourcing from Brazil and Uganda because farmers in the two Southeast Asian countries still remained. stockpiling even though Vietnam has harvested more than 90% of the crop. Arabica coffee prices – New York reversed to increase slightly to reduce the losses of the previous session after news that the rainy weather in the southern states of Brazil was not as expected.
The cost of shipping around South Africa with expensive insurance and increased delivery times, causing roasters to avoid buying from the SEA region, also caused coffee futures prices to soften.
The results of the first survey on the 2024/2025 coffee crop of Conab – Brasil have given a forecast of total output estimated at 58.08 million bags of coffee of all types, 5.5% higher than the previous year. with the output of the previous crop year, with a total planted area of 2.25 million hectares, in the context that most states have improved yields.
Conab also estimates that Brazil will export 39.2 million bags of coffee in 2023, down 1.3% compared to the previous year. The reason for this decrease in exports is due to the impact of limited inventory at the beginning of the crop year, after adverse climate conditions limited output in 2021 and 2022.
It is forecast that world coffee production in the 2023/2024 crop year will reach 171.4 million 60 kg bags, an increase of 4.2% compared to the previous crop year. The three main coffee producing countries, Brazil, Vietnam and Colombia, respectively, show growth in the 2023/2024 harvest. Regarding global coffee consumption, it is estimated to reach 169.5 million 60 kg bags, setting a new record and increasing by 0.3% compared to the previous crop.
DXY rose 0.04%, bringing the rate down to R$4.9316 as it reflected global fears that a cycle of interest rate cuts in major economies will still take several months to begin. head.
English (giacaphe.com)
