The mixed movement between the two futures coffee floors is said to be because speculators are buying and selling at a price difference to make short-term profits…
Robusta chart London T11/2021 session on October 7, 2021
At the end of the session, the price of Robusta coffee on ICE Europe – London tended to be mixed. The November spot futures increased by 3 USD, to 2,119 USD/ton, while the term for delivery in January 2022 was unchanged, remained at 2,116 USD/ton and the term for delivery in March 2022 increased by 4 USD, to $2,076/ton, slight increases. Trading volume above average. The inverse price structure is still maintained.
On the contrary, the price of Arabica coffee on the ICE US floor – New York continued the upward trend. December spot futures added 4.45 cents to 197.90 cents/lb and March 2022 futures added 4.40 cents to 200.80 cents/lb, strong gains. Trading volume very above average.
The price of green coffee beans in the Central Highlands provinces remained unchanged, still fluctuating in the range of 40,300 – 40,800 VND/kg.
Price of exported Robusta coffee grade 2.5% black broken, standing at 1,966 USD/ton, FOB – HCM, with a deduction of 140 – 150 USD/ton according to the January 2022 futures price in London.
The Reais fell 0.52%, the exchange rate fell to 1 USD = 5.5150 Reais due to the optimism of the outside market after the number of unemployment insurance applications in the US was lower than expected and the investment trend in the world global decline in emerging markets due to concerns about stimulus cuts, especially the possibility of an increase in the USD base rate.
World coffee futures prices tended to be opposite, rising sharply in New York and stable in London. According to observers, the futures markets are buying and selling arbitrage for short-term profit, while the fundamental information favors the opposite trend. However, there are still reports assessing that the rainy weather has not evenly covered the coffee growing areas of the central west of Brazil and the rainfall is not enough to trigger Arabica coffee to flower a new crop.
Meanwhile, the weather report in the Central Highlands coffee region in Vietnam is having a lot of rain, the cloudy sky for a long time can make the Robusta coffee fruit ripen slowly. As a result, the deployment of the new crop harvest, which is expected to begin in late October, is likely to be delayed because of unfavorable weather.
English (giacaphe.com)
