LONDON, June 2 (Reuters) – Arabica espresso futures on ICE rose on Wednesday however did not exceed the prior session’s 4-1/2-year excessive as traders paused for breath at the same time as they remained on edge a few drought in high producer Brazil.
COFFEE
* July arabica espresso KCc1 rose 1.1% to $1.6275 per lb at 1300 GMT, after setting a 4-1/2-year excessive of $1.6675 on Tuesday earlier than receding to shut down.
* “(There are) big shares in Brazil and Vietnam (and) cumbersome (ICE trade) licensed shares. Nonetheless, funds are taking the market by storm and, in moments of panic, the suppy/demand (stability) has solely a marginal influence on pricing,” Rabobank cautioned in a month-to-month report.
“Fundamentals could develop into necessary solely when the following arabica contract (July) approaches supply and the fact of over 2 million licensed luggage would possibly weigh available on the market,” it added.
* Buyers are nervous and inclined to purchase given discuss that the worst dry spell in 91 years in Brazil is hurting the event of the upcoming 2022/23 crop.
* There have been indicators on Tuesday that Colombian protesters may clear roads earlier than new talks with the federal government, so espresso exports may resume.
* July robusta espresso LRCc1 rose 0.5% to $1,600 a tonne, after setting a 2-1/2-year excessive of $1,619 on Tuesday.
* Indonesia’s Lampung province exported 5,575.50 tonnes of Sumatran robusta espresso beans in Might, down practically 41% year-on-year.
SUGAR
* July uncooked sugar SBc1 rose 0.1% to 17.71 cents per lb, having set a close to one-month excessive of 17.93 earlier.
* Sellers stated sugar appears to be like set to stay agency amid optimistic sentiment within the wider monetary markets and considerations over the drought in high producer Brazil.
* They see sugar testing Tuesday’s highs as end-users nonetheless have a number of shopping for to do, however cautioned 18 cents might be a high as that’s roughly the extent at which some Indian sugar gross sales had been concluded final month with out authorities export subsidies.
* August white sugar LSUc1 rose 0.5% to $467.20 a tonne.
* The bottom worth supplied within the worldwide tender to purchase 50,000 tonnes of sugar from Pakistan on Wednesday is believed to be $533.90 tonne c&f, European merchants stated.
COCOA
* September New York cocoa CCc2 fell 0.1% to $2,464 a tonne.
* The Worldwide Cocoa Group on Monday forecast a worldwide cocoa surplus of 165,000 tonnes within the present 2020/21 season.
* September London cocoa LCCc2 fell 0.7% to 1,629 kilos per tonne.
(Reporting by Maytaal Angel; modifying by Jonathan Oatis)
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