On the New York Stock Exchange, the Arabica coffee futures contract due in May advanced 1.09% this Wednesday (04), ending the day quoted at US$ 2,862.50 cents per pound.
The market follows reports of good harvest conditions in Brazil. There are reports of scattered rains that should improve crop conditions in Brazil. Mexico and Central America are also in good condition, while Vietnam has had scattered rain recently and conditions are also considered good.
According to analysts from Rabobankthe market may register a recovery in the short term, given the significant volume of sales observed in recent months, which leaves room for technical adjustments in prices.
Barchart highlighted that coffee prices rose amid supply concerns as the war in Iran disrupted shipping through the Strait of Hormuz, raising global shipping rates, insurance and fuel costs, which will increase costs for coffee importers and roasters.
Cocoa
Cocoa prices closed this Tuesday’s session (03) with appreciation on the New York Stock Exchange, with the contract for delivery in May quoted at US$3,060 per ton and a gain of 1.49%.
According to the Barchartcocoa prices are advancing this session, in a recovery movement after the strong lows recorded on Monday. The devaluation of the dollar encouraged slight covering of short positions in futures contracts.
In a report, analysts from Rabobank assess that there is limited space for further declines in the short term, as producers of Ivory Coast and of Gana have been reducing supply, while bearish factors, such as the prospect of a surplus, would already be widely incorporated into prices.
Sugar
On the New York Stock Exchange, the sugar contract due in May closed the day at US$ 13.73 cents per pound, down 1.44%.
According to Barchart, prices fell due to the expectation of a global surplus, a scenario that ended up overlapping with geopolitical concerns and the possible increase in transport costs amid the war with Iran.
Dow Jones Newswires reported that investors expanded positions in shares in the sugar-energy sector, betting that the rise in oil and gas prices could encourage Brazilian plants to prioritize ethanol production, which tends to reduce the supply of sugar on the market.
Orange juice
The futures contract for May delivery of orange juice closed the day on the New York Stock Exchange quoted at US$ 1,940.00 per ton, with an appreciation of 6.39%.
According to an analysis by Price Futures Group, prices have been showing volatility in recent weeks, after having touched a low of US$1,510.00 on February 6th.
The market also monitors the progress of the harvest in Florida, where the climate remains predominantly dry, favoring the advancement of work in the field.
Cotton
The devaluation of the American currency contributed to the advances in cotton future prices in this session on the New York Stock Exchange. The contract expiring in May gained 0.19%, at US$64.16 per pound.
