Coffee prices on the two floors continued to decline due to speculation that the supply would be abundant when many major producing countries are currently harvesting the new crop of coffee crop year 2022/2023…
At the end of the session, the price of Robusta coffee on ICE Europe – London continued to decline. The January delivery term decreased by 22 USD to 1,802 USD/ton and the March delivery term decreased by 27 USD to 1,788 USD/ton, significant reductions. Trading volume remain average.
Similarly, the price of Arabica coffee on the ICE US floor – New York also continued to decline. December spot futures fell another 9.45 cents, to 156.75 cents/lb, and March futures fell another 7.40 cents, to 159.50 cents/lb, very strong declines. Trading volume remained very high above average.
The price of green coffee beans in the Central Highlands provinces decreased by 400-500 VND, to range from 39,900 to 40,500 VND/kg.
The price of coffee on the two floors continued the downward trend due to the “Speculation Bear” Strong net selling before expected supply will be abundant when most of the coffee growing countries are currently harvesting the new crop of the 2022/2023 crop year.
The consultant – analyst Safras & Mercados reported that Brazil has so far sold 37.51 million bags of coffee of all kinds, accounting for about 65% of the 2022/2023 crop production, lower than the 72% sold in the year. but still higher than the 5-year average sold of 64%. In which, Arabica coffee exports accounted for 62% of total sales, significantly lower than the same period last year was 69% and the 5-year average was about 63%, Conilon Robusta coffee sold about 71% of output. crops, slightly lower than the previous year’s 72 percent and above the five-year average sold of 64 percent.
The market was also negatively affected when ICE – New York reported that there are currently 541,030 bags of Arabica coffee waiting to be tested, higher than the certified inventory level, which is rare and has caused traders Consumers in the consumer market doubt the quality of coffee beans stored by ICE.
The price of coffee fell deeply, it is inevitable that sales will slow down, especially “rubbish” with futures contracts signed at a loss.
English (giacaphe.com)
