The price difference between the two exchanges prompted speculation in London to increase buying, while speculation in New York short-term profit taking…
Robusta chart London July 2021 session on May 27, 2021
Ending the session, the price of Robusta coffee on ICE Europe – London increased for the third consecutive session. Futures for delivery in July increased by 14 USD, to 1,517 USD/ton and for September delivery increased by 12 USD, to 1,538 USD/ton, a significant increase. Trading volume on average.
On the contrary, the price of Arabica coffee on the ICE US floor – New York adjusted down. July spot futures fell 0.35 cents to 155.35 cents/lb and September futures also fell 0.35 cents to 157.3 cents/lb, slight declines. Trading volume very high above mbreast medium.
The price of green coffee beans in the Central Highlands provinces increased by 200-300 dong, ranging from 32,200 to 33,800 dong/kg.
Price of exported Robusta coffee grade 2.5% black broken, stood at 1,558 USD/ton, FOB – HCM, with a plus difference at 20 USD/ton according to September futures prices in London.
The Reais gained 1.07%, the exchange rate rose to 1 USD = 5,2550 Reais due to increased domestic investment, while most emerging currencies lost points against the USD. The US stock market fluctuated in a mixed trend, contributing to the recovery of the world’s leading economy.
New York coffee price corrected down after the previous strong increase and short-term speculation to take advantage of profit is common. The price difference between the two exchanges is currently beneficial for investors in London to increase their purchases and the new Conilon Robusta coffee has also been brought to the floor for certification, helping the market reduce supply concerns.
However, leading financial investor and brokerage Marex Solutions, headquartered in London, still warned that not only Brazil’s coffee production will decline this year, but the current dry weather will also threaten production. next year’s crop. Perhaps this advice only supports long-term speculation, but in the short-term, the downtrend still prevails in New York.
English (giacaphe.com)
