The price of London Robusta coffee reversed to decrease after technical indicators showed that this market has entered the “overbought” zone, which needs to be balanced. Domestically, the price of coffee today (January 31) decreased again with an adjustment of 300 VND/kg compared to yesterday.
Coffee price on 31/01/2023: Reversal to decrease
At the end of the first session of the week, the price of Robusta coffee on ICE Europe – London reversed to decrease. Futures for delivery in March decreased by 16 USD to 2,037 USD/ton and term for delivery in May decreased by 6 USD to 2,010 USD/ton, slight decreases. Trading volume remains very high above average.
Similarly, the price of Arabica coffee on the ICE US floor – New York maintained an uptrend. March spot futures added 0.50 cents to 170.40 cents/lb and May futures also added 0.50 cents to 170.55 cents/lb, slight gains. Trading volume remains very high above average.
Coffee prices online London, New York, BMF Updated: 31/01/2023 at 13:54:01 (10 minutes delay)
Coffee prices online London, New York, BMF Updated: 31/01/2023 at 13:54:01 (10 minutes delay)
Coffee price suddenly reversed to decrease, domestic coffee lost 300 VND/kg
The price of green coffee beans in the Central Highlands provinces decreased by 200-300 VND, to range from 41,900 to 42,500 VND/kg. In which, Lam Dong has the lowest price of 41,900 VND/kg. The three provinces of Gia Lai, Dak Lak and Dak Nong currently have the same price of 42,500 VND/kg.
The price of Robusta coffee reversed to fall after a strong increase, which was expected when technical indicators showed that the London market has entered the overbought zone, it is necessary to balance speculative positions. Meanwhile, Arabica coffee prices still maintain an uptrend. But the rally was cautious ahead of the Fed’s executive meeting that begins today, after the US January jobs report fell short of expectations, the result was only 185,000 jobs compared to 223,000 jobs. work in December.
The Coffee Exporters Association (Cecafe) showed that Brazil’s full-year 2022 exports of coffee beans fell 2.7% year-on-year to 35.6 million bags, the lowest level in four years. .
Vietnam’s domestic market has reopened after the long Lunar New Year holiday, but farmers are hesitant to sell at this time because international traders have imposed a high discount price. .
In mid-January 2023, the price of Robusta coffee increased thanks to the support of the inventory report because the London stock exchange was at a 4.5-year low, and could not be replenished in a timely manner. Meanwhile, the leading Robusta producer, Vietnam, has previously entered a quiet period as people focus on everything for the Lunar New Year holiday.
On the London exchange, on January 18, 2023, the price of Robusta coffee for delivery in March 2023, May 2023, July 2023 and September 2023 increased by 3.8%, 3.8%, respectively. 6%, 3.5% and 3.3% compared to January 9, 2023, to USD 1,895/ton; 1,862 USD/ton; 1,839 USD/ton and 1,821 USD/ton.
At the port in Ho Chi Minh City, export grade 2 Robusta coffee, 5% black broken rate, traded at the price of 1,925 USD/ton, the difference was +30 USD/ton, up 70 USD/ton (equivalent to USD 30/ton). an increase of 3.8%) compared to January 9, 2023. In contrast, Arabica coffee prices extended the downtrend. As of January 13, 2023, ICE New York’s standard inventory continued to increase at 850,724 bags. Besides, favorable weather factors in key coffee growing areas of Brazil also put pressure on Arabica coffee prices in the international market.
On the New York Stock Exchange, on January 18, 2023, the price of Arabica coffee delivered for the term of March 2023 and May 2023 decreased by 4.5% and 4.2% respectively compared to January 9, 2023. , down to 151.1 Uscent/lb and 151.8 Uscent/lb; Futures for delivery in July 2023 and September 2023 both decreased by 4.0% compared to January 9, 2023, to 152.4 Uscent/lb and 152.75 Uscent/lb.
On the Brazilian BMF exchange, on January 18, 2023, the price of coffee for delivery in March 2023, May 2023, July 2023 and September 2023 decreased by 3.2%, 4.2%, respectively. 7%, 4.4% and 2.2% compared to 9/01/2023, down to 201.8 Uscent/lb, 194.4 Uscent/lb, 186.2 Uscent/lb and 188.5 Uscent/lb .
It is forecast that the price of Robusta coffee will still fluctuate because Vietnam has ended the extended Lunar New Year holiday. Investors expect the US Federal Reserve (Fed) to slow down the rate hike in its meeting from today to early February. This will push the commodity market to increase buying…