august, 4th, 2022.

Coffee Settle Firm on Cold Weather Concerns 
ICE ARABICA  
The Arabica coffee futures market for September delivery closed 465 points higher at 219.30 cents per pound. Commercial buying and short covering supported the move. The forecasts of the cold front that is approaching next week to Brazil, despite being a bit erratic, have created concern among the participants. Today some meteorologists issued an alert for next August 10 and 11 when they observe that the passage of the polar mass over Santa Catarina and Parana. The volume reached 55,332 contracts, boosted by 18,141 switches. Good buying interest increased the structures premium especially December-March which ended at +560. Certified inventories fell 29,902 bags to 665,933 bags. Pending grading remains at zero.  
 
Robusta SEP22 contract settled at $2045 +19 with a 2014/2052 range. For the last 4 sessions flat price seems to be trapped between the 40ma and 2056 area (100ma @ 2065). Not able to breakout but finding technical support at 2017. The difficult market continues whipping short term traders about. Even with NY up 4 cents+ this wasn’t enough of a reason to break the range. Volumes dropped off today with only 5k going through SEP22. 3000 SEP/NOV traded between 0/8 pushing the highs into the close. No notable option trades.