The market continues to worry that the Fed will sharply tighten monetary policy at the upcoming executive meeting…
Robusta chart London 1/2023 session on October 28, 2022
At the end of the last session of the week, Robusta coffee prices on ICE Europe – London continued the downtrend. Futures for delivery in January decreased by 29 USD to 1,849 USD/ton and term for delivery in March decreased by 27 USD to 1,837 USD/ton, significant reductions. Trading volume quite above average.
Similarly, the price of Arabica coffee on the ICE US floor – New York has a downward trend. The December spot futures fell another 9.05 cents, to 169.80 cents/lb, and the March delivery futures fell another 9.32 cents, to 167.75 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 500-600 VND, to range from 40,700 to 41,200 VND/kg.
Coffee prices continued the decline of the previous session due to concerns that monetary interest rates will be raised further by major central banks after the report of a rise in US GDP in the third quarter, signs of decreasing inflation, will help the Federal Reserve (Fed) Fed) The US is more aggressive at the upcoming meeting in setting a minimum interest rate of 1%, very high compared to previous speculation. This move may lead to a world economic recession because too high loan interest rates will cause investors to shift speculative capital flows away from the general commodity markets to move to stocks and bonds. long-term treasury.
While the news that China partially blocked Wuhan also raised concerns about a decrease in demand for goods. The European Central Bank (ECB), for the third time this year, raised the euro interest rate by 0.75% and does not rule out further increases, while inflation has increased to 9.9% since the beginning of the year. The Eurozone was born and the energy crisis was unresolved with intra-regional instability still lingering.
English (giacaphe.com)
