december 6, 2022.
Arabica coffee futures settled higher Tuesday on another very quiet session. The most active contract Mar23 settled 90 points higher at 163.50 cents a pound. The volume reached 22,244 contracts including 5,076 switches. The trading of spreads continued to attract good participation as the market appears to be a little undecided coming from backwardation to contango in particular on the front months. Origin and speculative selling remained light. From Colombia, total output in November was 6% down from same month the previous year. The production reached 1.06 million bags compared with 1.31 million bags in Nov 21. Exports declined 25 % to 854,000 bags from 1.14 million bags in same month last year. The FNC attributed the drop to bad weather and road blocks. Arabica cert stocks increased by 11,288 bags to 648,648 bags. Pending increase 9,352 bags to 417,287. Grading today: 16,956 bags. Passed 11,288, Failed 5,668.
The Robusta market in London followed the NY action with good activity. The March settled higher at $1877 +21 after trading in a range between $1851 and $1882. The industry and speculative buying have been accompanying the market move recently. Concerns about the quality of the Vietnam harvest now 60% complete added support to the market.
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