Arabica market started to show concern about Brazilian supply in coffee crop 2021/2022 …
Robusta London T5 / 2021 chart session on April 6, 2021
At the end of the session, Robusta coffee prices on ICE Europe – London reversed and increased. May spot futures rose $ 9, up $ 1,334 / ton and July futures rose $ 7, up $ 1,357 / ton, a slight increase. Trading volume quite tall above average.
Similarly, Arabica coffee prices on the ICE US – New York floor continued the recovery momentum. May spot futures increased 4.75 cents, to 126.85 cents / lb and July futures rose 4.65 cents, to 128.7 cents / lb, the increase. Trading volume maintained very high above mGermany medium.
The price of coffee beans in the Central Highlands provinces increased by 100-200 VND, up fluctuating in the frame 31,600 – 32,100 VND / kg.
Export Robusta coffee price type 2, 5% broken black, stood at 1,417 USD / ton, FOB – HCM, with a plus difference at 50-60 USD / ton in term of July in London.
Reais rose 1.37%, rate rose at 1 USD = 5.6010 Reais, the highest closing price in 2 weeks, in correcting trend and positive emerging currencies when yields long-term US Treasury bonds fell.
Coffee prices recovered on both exchanges not only after Blomberg reporting on Volcafe Group of ED&F Man Holdings Ltd. said the supply in crop year 2021/2022 will be about 11.6 million shortages due to the decrease in Brazilian output (review the news on April 6, 2021). It was Citigroup’s turn yesterday that the world would have a shortage of 7.5 million bags of Arabica coffee in this crop year. Strengthening Reais also caused Brazilians to reduce sales, while speculation that Brazilian supplies were starting to run out due to over-selling in the previous months.
Arabica coffee crop yields low in 2021 cyclical “Every two years” Brazil has begun to exert influence on speculators on the derivative coffee markets.
English (giacaphe.com)
