Forecasts of rainy weather in Brazil and an increase in Vietnam’s September exports have caused world coffee futures prices to reverse again…
Robusta chart London T11/2021 session on September 29, 2021
At the end of the session, the price of Robusta coffee on ICE Europe – London reversed to decrease. The November spot futures fell by $44, down to $2,116/ton and the January 2022 delivery fell by $35 to $2,110/ton, sharp declines. Trading volume above average.
Similarly, the price of Arabica coffee on the ICE US floor – New York has a downward trend. December spot futures fell 5.20 cents to 193.40 cents/lb and March 2022 delivery also fell 5.20 cents to 196.25 cents/lb, sharp declines. Trading volume below average.
The price of green coffee beans in the Central Highlands provinces decreased by 600-700 VND, to range from 40,400 to 40,900 VND/kg.
The price of exported Robusta coffee grade 2.5% black broken, stood at 1,960 USD/ton, FOB – HCM, with a deduction of 130 – 150 USD/ton according to the January 2022 futures price in London.
The reais fell 0.07%, the exchange rate fell to 1 USD = 5.4300 Reais due to investors’ caution before the confirmation of the US-Fed Fed officials about cutting stimulus packages before the end of the year, while concerns about China’s real estate and energy crisis in the EU were more serious than many speculations, spurred USDX and US stocks to rebound strongly, leaving most of the commodity market under pressure.
Commodity markets continued to weaken as short-term speculation took profits. Coffee prices on both exchanges lost what they did in the previous session when there was basic information supporting the downtrend.
Notably, the weather forecast information will have a lot of rain in the Brazilian coffee belt with enough rainfall to trigger the coffee tree to flower a new crop, ending the dry period, despite frost and drought. Prior to that, the potential yield loss in the 2022 crop is unchangeable.
The General Statistics Office of Vietnam estimated that coffee exports in September were about 120,000 tons, up 7.4% over the previous month and up 20.3% over the same period last year. However, accumulated coffee exports in the first 9 months of 2021 were estimated at 1.19 million tons, down 4.26% compared to exports in the same period in 2020.
The lack of indentation in exports from Vietnam and Indonesia has been significantly offset by strong robusta exports from Brazil and Uganda, Africa’s top producer and exporter of Robusta, according to observers.
English (giacaphe.com)
