Reports of sharp increases in ICE inventories on both exchanges have pulled coffee futures prices down…
At the end of the weekend trading session, Robusta coffee prices on ICE Europe – London continued to decline. March delivery futures decreased another 127 USD, to 3,047 USD/ton and May delivery futures decreased another 83 USD, to 3,030 USD/ton, very sharp drops. Trading volume remains quite high above average.
Similarly, the price of Arabica coffee on the ICE US – New York floor also continued to decline. May delivery futures decreased another 2.85 cents, to 180.30 cents/lb and July delivery futures decreased another 3.05 cents, to 179.05 cents/lb, quite good decreases. Trading volume is very high above average.
The price of green coffee in the Central Highlands provinces decreased by 1,000 – 1,200 VND, fluctuating in the range of 80,800 – 81,500 VND/kg.
Data reported yesterday, Friday, February 23, showed that inventory levels monitored and allocated by the two exchanges had skyrocketed sharply. ICE – Europe increased by 1,930 tons, an increase of 9.16% compared to the previous day to 23,000 tons (equivalent to 383,333 bags, 60 kg bags). Meanwhile, ICE – US increased by 8,565 bags, up to 315,827 bags and had 120,427 bags awaiting inspection, continuing to leave the 24-year low.
According to observers, coffee prices continue to decline due to strong sales from Brazil when the world’s largest coffee producer and exporter is about to begin harvesting the new crop of the 2024/2025 crop year starting from 2024/2025. from April in Conilon Robusta growing areas and followed a few months later by the Arabica coffee harvest with expected increases in output, while the Reais currency continues to weaken to a 2-week low, encouraging Brazilians to boost coffee sales. export.
In addition, the report that Vietnam’s Robusta coffee exports in January increased by 67.45% over the same period last year also put pressure on funds and speculation to accelerate the liquidation of net positions, despite concerns about sources of investment. Supply is tight because of international shipping problems and global demand for coffee “rich in bitterness” increasingly high.
English (giacaphe.com)
