Climate and exchange rates pressure coffee market

The coffee market began the week influenced by climatic factors, exchange rate variations, and adjustments in global supply and demand outlooks. According to StoneX, futures quotations ended last week in decline and maintained the movement in the first trading sessions of this week, both in New York and in London. With no relevant changes in the fundamentals, the performance reflected mainly the action of short-term speculative agents and the effects of the reports released by the USDA for the main producing countries. In the New York exchange, the arabica contract for March fell 1.7% and closed at US¢ 374.85 per pound. In London, the most traded robusta contract, also expiring in March, dropped 5.3% and ended quoted at USD 4,178 per ton. The difference in the behavior of the two exchanges highlighted the more intense pressure on robusta over the past few days. This pressure was mainly linked to the advance of expectations for an improvement in the climatic conditions of Vietnam. ...