Coffee beans find stable ground despite rumor of hoarding in the Vietnamese Market

Coffee beans

Robusta Coffee futures are found trading in constant state at the end of a positive week as news of a rainy season in Brazil is countered by support values from renewed strength.

London- traded Robusta futures for the month of May slightly slid down by 0.7% at $2,177 a ton later in the trading session but was still up by 4% for its weekly average which the market regained in the last session.

New York Arabica futures were down by o.8% to 143.15 cents per pound for Mat futures.

However, there a number of analysts that put an emphasis on the agreeable nature of the Brazilian weather though there was a rise in production of Arabica beans in Brazil’s central area.

Further rains are expected, as stated by Jack Scoville a U.S. broker Price Futures “Brazil will get daily chances for scattered showers through Monday” this is before the drier weather returns.

Although some of the market’s weather focus is switching now to Vietnam, which is the top Robusta-producing nation, and the looming rainy season which is crucially affects the year’s harvest season.

The weather watch is coming at delicate time for the market in Vietnam, with the rumors of the producers holding back on sales after a spree, which was pushed by elevated prices.  This caused the country’s February exports to increase by 9% compared to last year’s February Sales. It is foreseen that the Robusta exports will rise to 130,000 tons.

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