Purchasing power has reappeared in most agro-commodity markets as speculation speculates that demand will recover significantly, after falling too low under pressure from world financial markets.
Robusta London T5 / 2021 chart session on March 9, 2021
Ending the session, Robusta coffee prices on ICE Europe – London ended the chain of declines. May spot futures increased 39 USD, to 1,400 USD / ton and July futures rose 38 USD, to 1,420 USD / ton, the sharp increases. Trading volume very high above average.
Similarly, Arabica coffee prices on the ICE US – New York floor continued to recover. May spot futures increased 1.25 cents, to 130.4 cents / lb and July futures also increased 1.25 cents, to 132.4 cents / lb, the significant increases. Trading volume very high above mGermany medium.
The price of coffee beans in the Central Highlands provinces increased by 700 to 800 VND, up fluctuating in the frame of 32,300 – 33,000 VND / kg.
Export Robusta coffee price type 2, 5% broken black, stood at 1,480 USD / ton, FOB – HCM, with a plus difference at 50-60 USD / ton in term of July in London.
Reais copper fell slightly by 0.25%, down at $ 1 = 5.7920 Reais in an attempt to separate from dependence on outside risk. Meanwhile, concerns with the decision to drop all accusations against former President Lula da Silva will lead to the possibility of his re-election in 2022 and delaying the economic reform program in Congress will leave home. Foreign capital investment is more cautious.
Coffee prices rebounded on both exchanges due to speculators “startle” when the market has entered the region “Oversold” increasing risk.
Follow Agrimoney.comIt is largely estimated that global consumption will exceed output as covid-19 disease pressure subsides and prices gradually recover, starting with Arabica coffee due to a sharp drop in Brazilian production this year.
Meanwhile in Vietnam, the leading Robusta producer and exporter in the world, is said to be holding their coffee beans by farmers due to the price being too low with the expectation that prices will improve.
The need to recover when the social gap is removed and the global gap will turn to a small deficit will cause futures prices to continue to adjust.
English (giacaphe.com)
