JUNE, 08, 2023.

Arabica coffee futures rallied today as aggressive short covering boosted the market to the best close since April 19. The prices continued to be supported by commercials rolling positions ahead of the first notice day for the July position, June 22nd, as well as the strong technical action. The most active contract for July delivery settled 945 points or 5.09% higher at 194.85 cents a pound.  The volume reached 88,987 lots, including 30,894 switches. The July- September switch gained 80 points to settle at 4.50 cents, reflecting the firm interest buying of the structure. The market remains inverted up to March 24.   With the Brazilian market on holiday and other origin selling very limited, the rise in prices found practically no resistance. The rally accelerated when the market exceeded previous highs at 188, 190 and 194.4 levels.  Arabica certs fell by 2,985 bags to 552,221 bags. Pending grading 0.
​
Today was yet another day of strong performance in the Robusta market in London. The July contract settled at $2760, up a whopping $86 from the previous close. This was the highest level the market has seen in 12 and a half years. The tight supplies of Robusta beans in both Vietnam and Brazil provided support for the market. Vietnamese dealers continued to be reluctant to commit to forward sales, as demand for Robusta beans remains high.