The latest Commitment of Traders report from the New York arabica market has seen the Non-Commercial Speculative sector raise their net short position within the market by 38.10% over the week of trade leading up to Tuesday 16th. June: to register a new net short sold position of 24,153 Lots which is the equivalent of 6,847,268 bags. This new net short position has most likely been further increased, following the period of overall softer trade that has since followed.
The latest Commitment of Traders report from the London Robusta coffee market has seen the Speculative Managed Money Sector of this market trim their net short sold position within the market by 12.40% over the week of trade leading up to Tuesday 16th. June; to register a short-sold position of 34,752 Lots. This net short sold position is the equivalent of 5,792,000 bags and has most likely been increased slightly following the period of mixed but overall soft sideways trade that has since followed.
The September to September contract arbitrage between the London and New York markets narrowed on Friday; to register this at 42.60 usc/Lb. This equates to 44.42% price discount for the London Robusta coffee market.
The Certified washed Arabica coffee stocks held against the New York exchange were seen to increase by 2,250 bags on Friday; to register these stocks at 1,663,586 bags, with 91.8% of these certified stocks being held in Europe at a total of 1,526,611 bags and the remaining 8.2% being held in the USA at a total of 136,975 bags. There was meanwhile a larger in number 12,000 bags decrease to the number of bags pending grading for this exchange; to register these pending grading stocks at 36,091 bags.
It was a firmer day overall on the commodity markets on Friday, to see the overall macro commodity index taking something of a sideways track for the day. The Sugar market ended the day on a positive note, while the Cocoa and Coffee markets ended the day on a softer note. The Reuters Equal Weight Continuous Commodity Index that is related to 17 markets is 0.5362% higher; to see this index registered at 359.4414. The day starts with the U.S. Dollar steady, trading at 1.237 to Sterling, at 1.119 to the Euro and with the US Dollar buying 5.311 Brazilian Real.
The London and New York markets started the day on Friday trading on a modest positive note, both markets maintained this relatively firm track into the early afternoon trade. As the afternoon progressed both the London and New York markets started to attract selling pressure to trade softer for the afternoon and accentuate the losses for the day. The London market bounced back off the lows of the day to close on a relatively modest positive note for the day while the New York market continued on a soft track to see the market close on a softer note for the day.
The London market ended the day on a positive note and with 84.61% of the earlier gains of the day intact, while the New York market ended the day on a negative note and with 73.91% of the earlier losses of the day intact. This mixed close does little to indicate direction, it was a narrowly softer finish in New York and in narrowly positive territory in London, with first notice day today 22nd June, one might think the markets are due for little better than a hesitant steady start to early trade today against the prices set on Friday, as follows:
LONDON ROBUSTA US$/MT NEW YORK ARABICA USc/Lb.
SEP 1175 + 11 SEP 95.90 – 0.85
NOV 1195 + 11 DEC 98.15 – 0.70
JAN 1215 + 9 MAR 100.25 – 0.65
MAR 1235 + 8 MAY 101.65 – 0.70
MAY 1256 + 8 JUL 103.00 – 0.80
JUL 1275 + 7 SEP 104.30 – 0.85
SEP 1290 + 5 DEC 106.05 – 0.90
NOV 1304 + 1 MAR 107.75 – 0.95