The report of increased inventories on the floor has put pressure on Arabica coffee prices in New York…
Robusta chart London T5/2022 session on 11/03/2022
At the end of the last session of the week, the price of Robusta coffee on ICE Europe – London tended to be mixed. Futures for delivery in May increased by 2 USD, to 2,095 USD/ton and the term for delivery in July was unchanged, still standing at 2,072 USD/ton, while the futures for far delivery all decreased. Trading volume is down very below average.
On the contrary, the price of Arabica coffee on the ICE US floor – New York continued the downtrend. The May spot futures fell another 2.25 cents, to 221.95 cents/lb, and the July delivery futures fell another 2.05 cents, to 221.40 cents/lb, very significant reductions. Trading volume above average.
The price of green coffee beans in the Western provinces remained unchanged, still fluctuating in the range of 39,600 – 40,200 VND/kg.
Gold price fell sharply as speculation moved capital flow back to stock exchanges and USDX regained strength when investors were no longer available. “illusion” erroneously claiming that negotiations between Russia and Ukraine have had positive results, while the sound of bombs and bullets is getting closer and closer to the capital Kiev without any reduction.
Coffee price continued to weaken as the futures markets lacked speculative strength, causing the liquidation of net long positions to last, while the pressure of the monetary factor was getting closer and closer, with the policy meeting of the Federal Reserve Board. Federal Reserve (Fed) of the United States and of the Monetary Policy Committee (Copom) of Brazil beginning on “Super Wednesday” next week, along with some major coffee producers, begin to harvest this year’s new crop.
Fight “aggression” in Eastern Europe continues and the global market in general is still complicated and unpredictable. The trend of finding safe havens and shifting capital flows into attractive short-term profitable markets is dominant.
English (giacaphe.com)
