Fears of delayed SEA coffee deliveries due to rising tensions in the Red Sea will support London futures prices at high levels…
At the end of the trading session, Robusta coffee prices on ICE Europe – London floor adjusted after 5 consecutive sessions of increase. The March delivery term decreased by 12 USD, to 2,938 USD/ton and the May delivery term decreased by 14 USD, to 2,831 USD/ton, slight decreases. Trading volume is above average.
On the contrary, the price of Arabica coffee on the ICE US – New York floor reversed to increase. March delivery futures increased by 2.90 cents, to 184.05 cents/lb and May delivery futures increased by 2.05 cents, to 181 cents/lb, very significant increases. Trading volume remains well above average.
The price of green coffee in the Central Highlands provinces decreased by 200 – 300 VND, fluctuating in the range of 70,000 – 70,600 VND/kg.
Robusta coffee futures prices in London have just had a slight correction after a series of hot increases, when technical indicators show that this market has entered the “overbought” zone, while the supply of Robusta from Southeast Asian producers is currently It is still difficult to buy due to price resistance from producers and the data reported by ICE – London yesterday, Thursday, January 11, decreased by another 80 tons, down to 34,100 tons (568,333 bags).
Meanwhile, exchange rate fluctuations after the US December CPI report increased by 0.3% over the previous month, causing most commodity prices to increase accordingly. The Reais – Brazilian currency increased by 0.32% to 1 USD = 4.8754 R$, pushing up coffee prices in Brazilian domestic markets to increase to be able to buy goods.
Preliminary report data from the General Department of Vietnam Customs shows that coffee exports in December reached 207,613 tons (equivalent to 3,460,217 bags), an increase of 74.03% compared to the previous month and an increase of 5.40% compared to the previous month. with the same period last year. Therefore, coffee export results for the whole year 2023 will reach a total of 1,623,138 tons (about 27.05 million bags), down 8.68% compared to exports for the whole year 2022. This reflects the supply of Robusta coffee from Asia remains temporarily tight in the short term.
Consulting hEdge Point expects global coffee exports to be delayed by about 36% in the first quarter of this year, mainly coffee coming from Southeast Asia due to rising tensions in the Red Sea causing shipping costs to increase. because container ships have to look for other, longer routes.
English (giacaphe.com)
