Morgan Stanley coffee report - May 19

Arabica settled down .70 points at 108.40 in a rather lifeless session.  Early trade saw steady but feeble gains off the opening while also creating a .30 point open gap, basis KCc2 with KCK20 being off the board.  The GAP had a limited lifespan and was filled shortly after the BRL opened and fell to the lows of the day along with KC.  A brief correction was made as the FX made a positive recovery but at the end of the day it was close to a wash.  Spreads continued to weaken with KC N/U losing another -.10 points and N/N another -.15. To put things in perspective we have been trading in a 4.20 range for the past 5 days and paltry 9.35 the past 15+.  Robusta proved to be the more exciting of the two or a least volume wise and the complete opposite of yesterday, settling  +$2 at 1196.
Certs increased by 2477 (1,793,953) with pendings down to 1250.