Commodity and speculative funds have cut their net positions due to concerns that the Fed – the US will tighten monetary policy even more at the upcoming policy meeting…
Robusta London chart November 2022, week 40 (from October 3, 2022 to October 8, 2022)
For the whole week of 40, the London market had 2 decreasing sessions and 3 increasing sessions. The price of Robusta coffee for November delivery increased by all 2 USD, or 0.09%, to 2,155 USD/ton and for January delivery in 2023, it increased by 8 USD, or 0.37%. $2,154/ton, slight increases. Trading volume above average.
Similarly, the New York market also had 2 decreasing sessions and 3 increasing sessions. The price of Arabica coffee for December delivery fell all of 3.45 cents, or 1.56%, to 218.10 cents/lb, and for March 2023 delivery fell all of 4.30 cents, ie. down 2.02%, to 208.25 cents/lb, significant reductions. Trading volume very above average.
The price of green coffee beans in the Central Highlands market increased from 0 to 100 dong, to range from 46,600 to 47,100 dong/kg.
Arabica coffee prices returned to a negative trend after the better-than-expected September jobs report from the US Department of Labor raised concerns among Wall Street investors that the US Federal Reserve (Fed ) has grounds to tighten monetary policy further at the upcoming meeting. Fears that the US economy might fall into a recession caused USDX to bounce back and most of the Funds and Commodity Speculators have cut their net positions due to concerns about rising currency interest rates.
Robusta coffee prices still tend to be more positive due to the demand for this type of coffee “rich in bitterness” have cheaper prices more and more because consumers are forced to save spending in times of global economic downturn, income is more difficult.
The September trade report of the World Coffee Organization (ICO) shows that global coffee exports in August totaled 9.9 million bags, down 1.90% year-on-year. Global coffee exports in the first 11 months of the current coffee crop year 2021/2022 totaled 118.86 million bags, down 0.30% from the same period last year. The decline is due to the fact that production and exports from the top countries have decreased by a total of 2.1% compared to the previous crop year, to only 167.17 million bags, while global consumption is forecasted to increase. increased by 3.30% to a total of 170.29 million bags.
Preliminary data from the General Department of Vietnam Customs shows that September coffee exports reached 1.54 million bags, down 10.27% compared to the same period last year, bringing coffee exports for the whole crop year 2021/2022 up to a total of 28.62 million bags, up 14.4% over the previous crop year.
As of Monday, October 3, the inventory of Robusta coffee certified and monitored by the London floor has increased by 550 tons, or 0.58% higher than a week earlier, to registered at 94,900 tons. (equivalent to 1,581,667 bags, 60 kg bags).
Notify: Monday, October 10, the New York market is closed for Columbus Holiday, closed all day without trading. The London market is open for trading as usual.
English (giacaphe.com)
