20.3 C
New York
Sunday, August 14, 2022

Arabica coffee extends gains as stockpiles fall

LONDON: Arabica coffee futures on ICE rose on Friday, extending a near 5% jump in the prior session, on worries over falling stockpiles and dry weather in top producer Brazil.

COFFEE

September arabica coffee was up 0.5% at $2.2930 per lb at 1223 GMT, after closing up 4.8% on Wednesday.

Dealers noted falling ICE certified stockpiles, currently at their lowest in 22 years, an inverted futures market curve signalling tight nearby supply and concerns dry weather in Brazil might lead to lower yields.

September robusta coffee fell 0.6% to $2,036 a tonne.

Domestic coffee prices in top robusta producer Vietnam inched higher this week due to tight supplies at the end of the crop season and as stocks started to dwindle in neighbouring Indonesia, traders said.

Exports of Indonesia’s Sumatra robusta coffee beans in May rose 27.26% to 12,047.93 tonnes from a year earlier, revised government data showed.

SUGAR

July raw sugar, which is due to expire later this session, rose 1.4% to 18.80 cents per lb.

Dealers said short-term sentiment in sugar is negative overall, but there are still longer-term concerns over Brazilian production, the Indian government’s export policy and the monsoon, which has been patchy and slow so far.

Capping gains in sugar were fears in the wider financial markets that the latest show of central bank determination to tame inflation will slow economies rapidly.

August white sugar fell 0.3% to $553.20 a tonne.

COCOA

September New York cocoa fell 0.4% to $2,356 a tonne. Dealers said a strong dollar is weighing on New York cocoa, making the dollar-priced commodity costlier for holders of other currencies. September London cocoa rose 0.4% to 1,728 pounds per tonne.

Arabica coffee extends gains as stockpiles fall

Source: Brecorder

Related Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay Connected

11,292FansLike
12,893FollowersFollow
748FollowersFollow
- Advertisement -

Latest Articles

Popular Articles