Morgan Stanley Coffee Report - May 14'19

Robusta, 1392, +46, remains the story, having gained $143 top to bottom in a mere 4 sessions.  Speculative short covering is finding little origin resistance as the Vietnamese producer holds out for profitable levels and conilon is reportedly most actively sought by the domestic industry.  A flush of new global green interest came to market and while this doesn’t bring at the market futures buying, it has been credited by some for helping demand based sentiment.  With no follow up fund sellers after posting a record position, London has found something of a vacuum to the upside.  Arabica, 90.95, +1.35, did its best to ignore her sister market, yet ultimately was dragged higher midday, snapping through the 26dma before giving up peak gains as London found its top.  Origin was quiet in NY as were roasters.  The NN arb closed 27.80.