Coffee prices today September 19, 2022: The price of Robusta coffee for September 2022 in London fell by 24 USD/ton to 2186 USD/ton.
1. Coffee prices today September 19, 2022: Coffee prices continue to decline
Ending the last trading session of the week, the price of Robusta coffee for September 2022 in London fell by 24 USD / ton to 2186 USD / ton, and the term for delivery in November 2022 decreased by 24 USD / ton to 2202 USD / ton.
On the New York Stock Exchange, arabica coffee for September delivery fell 1.1 cents/lb to 218.05 cents/lb, and in December 2022 delivery fell 1.3 cents/lb to 215.1 cents. / pound. In general, the London market had 5 consecutive losing sessions last week.
The cash price of Robusta coffee fell $62 in November, a pretty steep drop. The trading volume is below average. Similarly, the New York market increased by 1 session and decreased by 4 sessions. The price of arabica coffee for December delivery fell 13.40 cents, a sharp decrease. Moderate volume.
2. World coffee news: Brazil’s inventory levels are at a record low
Consider this to demonstrate how limited the world’s supply of coffee is: Brazil is the world’s largest producer of coffee, and its stocks are at historic lows.
The National Coffee Council‘s president, Silas Brasileiro, predicted that by March, the country’s stockpiles may have decreased to barely 7 million bags. A more comfortable number, according to analysts, is between 9 million and 9 million bags. Twelve million 60 kilogram sacks.
Brazil’s supply contributes to a global shortfall that raises the possibility of price increases amid ongoing food inflation.
At terminals inspected by the US ICE Futures Exchange, arabica storage levels are at a 23-year low.
According to research firm hEDGEpoint Global Markets, global demand is also increasing, with consumption this season up 1.5% after climbing 2% last year.
According to Nelson Carvalhaes, a board member of the Cecafe exporter’s association, “stocks” are so low that even with a robust crop the following year, Brazil might just have enough to meet demand.