ICO forecasts a global surplus of 5.26 million bags in coffee year 2020/2021, while Brazil begins to enter a very bad new harvest this year …
Robusta London T5 / 2021 chart session on April 9, 2021
Ending the last session of the week, Robusta coffee prices on ICE Europe – London decreased. May spot futures fell 2 USD, down to 1,343 USD / ton and July futures dropped 6 USD, to 1,363 USD / ton, the slight decrease. Trading volume maintained at a moderate level.
Similarly, Arabica coffee prices on the ICE US – New York floor also decreased. May spot futures fell 0.6 cents, down 127.25 cents / lb and July futures also dropped 0.6 cents, to 129.15 cents / lb, the slightest decline. Trading volume very high above mGermany medium.
The price of coffee beans in the Central Highlands provinces decreased by 100 VND, down to fluctuate in the frame 31,600 – 32,200 VND / kg.
Export Robusta coffee price type 2, 5% broken black, stood at 1,423 USD / ton, FOB – HCM, with a plus difference at 50-60 USD / ton in term of July in London.
Reais copper plunged 1.79%, the exchange rate dropped to 1 USD = 5.6740 Reais, after worries about the budget spending ceiling in 2021 will be broken put pressure on the exchange rate and impact. hedging in the market. While USDX strengthened after the comments of Fed officials agreeing to maintain the policy of economic easing, the US stocks increased strongly again.
The weakening coffee price is also due to the balance and adjustment of speculative positions on both derivatives when the May option contract expiration is also coming soon.
The International Coffee Organization’s (ICO) February Trade Report forecasts global production in coffee year 2020/2021 will increase 1.9% to a total of 171.89 million bags, while consumption global growth was only 1.3% to reach a total of 166.63 million bags. This will lead to a global surplus of 5.26 million bags of coffee, the highest level in the past 3 years.
English (giacaphe.com)
