Morgan Stanley Coffee Report - Oct 27, 2020

Coffee gathered slight gains, closing 30 points higher at 106.95. Trading was choppy and while the VWAP on the day was roughly 90 points higher, a 15 minute long surge in futures from 9:15 to 9:30 boosted both the price and volume in what was otherwise a fairly subdued session.  Uncertainty is high a week before the US election. Another 21,439 bags were graded today with a pass fail of 12,774/8665, Certs increased  by 12,774 (1,141334),  pendings (50,172).  Robusta was the more dynamic market and drove the bulk of conversation.  Jan futures rose $38 to 1351, spending virtually the entire session above yesterday’s high.  Using the YTD range, Jan pierced the 38.2% Fibonacci retracement of 1333 in the process.  XF rallied $17 on first notice day, yet even with sizeable recent gradings and 2627 lots of OI, no tenders were noted.  F/H was also a gainer on the day, rallying $2 to -6.