Coffee Market Report
| The September 2022 to September 2022 contract arbitrage between the London and New York markets narrowed yesterday to register this at 124.84 usc/Lb. This equates to 58.01% price discount for the London Robusta coffee market.
The Certified washed Arabica coffee stocks held against the New York exchange were seen to decrease by 6,010 bags on yesterday, to register these stocks at 734,157 bags, with 92.36% of these certified stocks being held in Europe at a total of 678,058 bags and the remaining 7.64% being held in the USA at a total 56,099 Of this, a total 274,855 bags, or 37.44% of the coffees registered and stored in consumer country certified warehouses of the exchange, Brazil washed arabica, and a further 50.70% of these certified coffees, originating from Honduras. There was meanwhile no change to the number of bags pending grading to the exchange; to register 0 bags pending grading on the day. It was a firmer day on the commodity markets yesterday, with the US Dollar slipping back against a basket of other currencies, the next US Federal Reserve meetings due to take place next week and the European Central Bank meetings this week. The Energy markets, Oil and Gas gained positive momentum to close on a firmer note on the day. It was a positive day for Corn, Soybean, Wheat, Sugar, Coffee, Cocoa, and Precious metals, which saw Gold, Silver, Platinum and Palladium markets all positive on the day. The day starts with the U.S. Dollar trading at 1.194 Sterling, at 1.013 the Euro and with the US Dollar buying 5.437 Brazil Real. The London and New York coffee futures markets started the day in line with the overall positive macro, to see London open on a positive note and New York follow with a sharp rise on opening, in a vacuum of selling activity, to trigger stops along the way. As the morning progressed, both markets continued the upward trajectory in a more sedate manner and the morning session moved into the afternoon with some selling volumes returning to the floor at the highs of the day. The latter day saw the New York market treading in very positive territory as volumes of trade increased, as did the London market gradually recover back to the days highs. The London market ended the day on a positive note with 84.15% of the earlier gains of the day intact, while the New York market ended the day on a positive note with 92.77% of the earlier gains of the day intact. The close in both markets at near to the top of the days’ trading range finished within the overall macro positive sentiment and on a bullish note, to set the close against the prices set on Friday, as follows: LONDON ROBUSTA US$/MT NEW YORK USC/LB. SEP 1992 + 69 SEP 215.20 + 15.40 |
