Morgan Stanley Coffee Report - May 20, 2021

​Arabica closed the day unchanged at 150.95 on another day of light volume, yet nonetheless was the 4th best performer in the BCOM.  London lost $12 to close 1490 on a slight increase in trading day over day, yet still failing to crack 10k aggregate lots.  Prices were on the upswing early, peaking just before 8am with a 153.65 high, and recording a second push higher roughly 2 hours later as KC led the commodity complex.  Cotton charted a similar path and both saw a similar uptick in selling – KC notching its best volume on the day as prices fell sharply at 10:20am – the only 3 minute period of trading that cracked 500 lots in KCN.  NU continued to be supported at -2.00, though since Monday only 1682 lots have traded on that bid, while 4929 (out of 8645 trades total at the price) have traded on the -1.95b.  Overall it was a fairly quiet session, with choppy rangebound trading taking over for the balance of the day after that 10:20 selloff, with even the settlement period driving minimal additional trading.  Certs continue to surprise in their ascent, even if they are no longer the driving factor in futures, as pendings ticked higher again, falling just short of 100k at 98,254.