Coffee Report - December 1st

The coffee market ends this Thursday's session with an increase of 7% on the NY Stock Exchange

Market Analyst and Director of Pharos Consultoria, Haroldo Bonfá, reported that the main market ended with an increase of 7%. "The movement was very untimely, as in the morning it was rising 300 points and at the end it broke resistance and triggered purchase orders and with that the market gained leverage" , he commented to Notícias Agrícolas.

Of the factors that influenced the gains on the New York Stock Exchange, Bonfá points out that the climate in Brazil may have contributed to putting pressure on prices. "However, the expected volume of rain in the coming weeks is in line with Spring, rain and sun strong” , he highlighted.

Bonfá also adds that what weighed most on the market was the low prospects for the Colombian harvest, which according to the United States Department of Agriculture (USDA) should remain at 11.5 million bags, with the Federation of Cafeteros speaking at 10 .5 million bags.

According to information from Barchart, coffee prices ended the session with the highest appreciation in the last five months due to a new rule that begins this Friday, in which the Intercontinental Exchange (ICE) will prohibit the re-presentation of old coffee stocks, a loophole used by some sellers to avoid age penalties.

Source: Notícias Agrícolas