Morgan Stanley Coffee Report

Summer-like trading persists as many market participants, albeit more of the physical than futures variety, head to the un-summerlike capital of the New American South for SCAA.  Arabica and Robusta both posted positive performances following yesterday’s disappointment, with the majority of traders seemingly resigned to wait out further confirmation from Brasilia, Doha, and the Vietnamese Central Highlands.  Perhaps caution was well-founded, as the Brazilian Supreme Court announced post-KC close an extraordinary session set for 5:30pm as the Attorney General seeks to prevent the coming lower house impeachment vote after alleging “procedural irregularities.”    While few think the Court is likely to take action in Dilma’s favor today, everyone will certainly be paying attention.  If a surprise decision is made, one imagines traders will be up and prepared early, while if the status quo is maintained it seems probable another quiet day will be on tap ahead of the weekend events.