Market Reports Blog / Market Reports / Coffee Market Report 1st to 8th April 2016

Coffee Market Report 1st to 8th April 2016

COFFEE MARKET NEWS Week Ending: 8th Apr 2016

 

 

4th April

5th April

6th April

7th April

8th April

NYC

122.80

120.90

121.50

119.80

120.45

LIFFE

1474

1457

1470

1496

1513

 GBP/USD

1.4277

1.4155

1.4121

1.4062

1.4105

NYC:

The Speculative community continued to follow each other like sheep during the start of the week with a small sell off. Positive commodity markets gave some resistance to mid week trading, which was halted by the Brazilian Real’s weakness that cause the market to trade lower.

LIFFE:

The Robusta market continued to rise throughout the week concentrating in between the trading range of $1488-$1500. Vietnamese offers capped most rallies encouraging specs to counter trade their extension to the upside. 

Currency:

In the FX markets, the weak UK data did not seem to notably affect sterling as the currency maintained its recent levels against both US dollar and euro. GBP/USD traded higher from a low of$1.4038 to touch $1.4140, while GBP/EUR also saw the same pattern closing at €1.2388 having opened the session at €1.2354.

Origin News:

Brazil: Overseas buyers showing a fair amount of interest but diffs remain firm for the current crop, especially for the scr 17/18 which is becoming more and more scarce. 

Colombia: Coffee flow continues to be very slow in-between the crops. Worries regarding yields at farm and dry mill level continue to grow. Colombia’s National Coffee Research Center (Cenicafé) issued a statement on 5 April warning that the dry season caused by El Nino is leading to the quick spread of coffee berry borer. A dry season has afflicted Colombia since the second half of 2015, which is perhaps one of the most harmful effects that the El Niño phenomenon has had on Colombian coffee growing.

Honduras: With the lower NYC, differentials continue to increase. There are still good volume for May shipments available. Oct- April volume reached 3.37 million bags, unchanged to last years figures.

Ethiopia:  Good interest from the exporter’s side. The only problem that the low market  provides a challenge for importers to hedge with some tasty differentials.

Kenya:  Sale 20 saw 23,500 bags on offer. Different for conventional grades came off whilst main catalogue lots sold above overseas buying ideas. Miscellaneous section is every growing, giving some traders a chance to give extra value to some grades after milling. 

 In other news:

We had a great time at the London Coffee festival and thank you to all those who came to our stand and attended our party on the Thursday! We look forward to seeing you all again soon!