Risk aversion increased again, causing speculative capital flows to move to find a safe haven…
At the end of the last trading session of the week, the price of Robusta coffee on the ICE Europe – London floor adjusted down. Futures for delivery in January decreased by 7 USD, to 1,811 USD/ton and term for delivery in March also decreased by 7 USD, to 1,787 USD/ton, a slight decrease. Trading volume below average.
Similarly, the price of Arabica coffee on the ICE US floor – New York extended the falling chain to the fifth session. December spot futures fell another 1.40 cents to 151.30 cents/lb and March futures fell another 1.25 cents to 155.10 cents/lb, significant losses. Trading volume quite above average.
The price of green coffee beans in the Central Highlands provinces decreased by 100-200 VND, to range from 39,900 to 40,400 VND/kg.
Coffee prices on both floors continued to decline before the first announcement date (FND) of the New York exchange, Monday, November 21. While the supply of Arabica coffee from the main producing countries proved to be abundant and the fear of reduced consumption reduced purchasing power. Information about China’s policy re-establishment “Zero covid” Not being friendly to the market also contributed to commodity prices maintaining a negative trend. Strong inflation and interest rates in consumer markets are the driving forces behind coffee futures prices to continue to decline, speculative capital flows continue to flow to long-term US Treasuries due to their attractive returns. than.
Recent statements by Fed officials are considered by the market to still have a tough tone, with the tendency to raise interest rates, causing risk aversion to re-emerge, prompting investors to continue to seek shelter. safe.
Anh Van (giacaphe.vn)
