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Coffee Market report 17th August 2015 to 21st August 2015

COFFEE MARKET NEWS Week Ending: 21st Aug 2015

17th Aug

18th Aug

19th Aug

20th Aug

21stAug

NYC

138.55

139.05

134.80

132.45

126.45

LIFFE

1715

1722

1683

1665

1642

GBP / USD

1.5595

1.5658

1.5656

1.5677

1.5699

 

 

 

 

NYC: It has been volatile week with the market closing 12.1 cents lower on Friday than it did on Monday. It closed at 126.45 and only an abrupt rebound over the mid band (131.9) would stem the tide of the downward trend.

LIFFE: As it did last week, Robusta followed the direction of New York moving steadily downward. Again, only a lurch back up over the mid band of 1681 could ease the downward slide that we’re currently experiencing.

Currency: GBP/USD has remained quite stable. People are waiting to see what the FED will do next. Although concerns surrounding China have dominated financial markets this past week, the Federal Reserve’s decision over whether or not to lift US interest rates next month will ultimately be driven by its assessment of the US economy.

Origins

Brazil – Rain is coming! Widespread rains are expected in Brazil’s southeast which is hugely welcome due to the lack of consistent rain that has plagued this origin over the last few months. There are already signs of good bud-formation on trees and many exporters are thus expecting good flowering to follow.

Kenya – Prices of top AA’s rose again and climbed even higher this week. The quality remains good and there is still not much coffee on offer. More grades are expected to be offered over the coming weeks.

Peru– The higher altitude coffees are currently being harvested. Initial reports indicate that quality is high and there is still some volume on offer.

Vietnam – Problems persist in Vietnam with farmers and middleman still holding back their coffee. They are waiting for the price to rise and are standing firm. This has had a significant impact on how much Vietnam is exporting and the downward trend shows no sign of changing. Their coffee exports dipped 1.2 percent in June from the previous month to 104,200 tonnes, bringing shipments in the first nine months of the 2014/2015 season to 979,700 tonnes, down 25.7 percent from a year before, government data shows.