Coffee prices rose on both bourses (18/01/2018)

Robusta London T3 / 2018 dated 17/01/2018

Ending the trading session, on ICE Europe - London, Robusta coffee prices reversed. March spot delivery increased $ 42 to $ 1,769 per tonne and delivery in May increased $ 31 to $ 1,754 per tonne, with strong gains. Trading volume is quite high above average.

Similarly, on the floor of ICE US - New York, Arabica coffee prices are in the same trend. March spot delivery rose 2.65 cents to 123.1 cents / lb and delivery in May rose 2.6 cents, to 125.55 cents / lb, and gains were strong. Trading volume is very high above average.

The price of coffee beans in the Central Highlands increased from 700 to 800 VND, fluctuating in the frame 36,800 - 37,500 VND / kg.

Robusta coffee export prices of type 2, 5% black broken, stood at $ 1,684 / ton, FOB - HCM, with the difference offset $ 80 - $ 85 price term in March in London.

US Grains Coffee (GCA) report showed December inventories fell 1.57 percent to 6,631,501 bags, the biggest drop in five consecutive months. However, if the amount of coffee is scattered in the private warehouse and is being transported in transit, the total inventory still meet the needs of North American roasters in more than 13 weeks, a fairly safe stockpile.

Meanwhile, European Union Cup (ECF) inventory data showed November inventories at European ports fell 5.32 percent to 10,326,683. Taking into account the number of scattered and unreported coffee exports across East-West Europe, this inventory will ensure that the demand for roasting in the world's largest consumer market is around more than 12 weeks, a relative figure.

It is noteworthy that inventory reports in key consumer markets have not been affected by new crop yields being harvested in major producing countries such as Vietnam, Colombia, Central America. It is still too early so there is nothing to worry too much about. However, export data has fallen continuously in recent months from Brazil and the probability of a decline that may last until May is a reminder that speculators in the coffee futures markets need to be more cautious. .

The National Coffee Council (CNC) has expressed disagreement with the forecast of the Cecafe Group of Coffee (Cecafe) yesterday, saying that the forecast is not realistic and does not exclude the possibility. Coffee growing regions in southern Brazil are still suffering from drought.

The price of Robusta coffee in London is soaring that farmers and traders in Vietnam's domestic market expect them to handle a certain volume of goods to meet the financial needs of the Lunar New Year. Dogs coming. However, according to observers and technical analysts, the price increase is only temporary and has a corrective effect as the USDX reverses rather than opening up new trends.