Good morning and happy Monday
As we draw closer to Summer, things here are anything but typical. It’s been feeling like we’re a month behind for most of 2018 and June’s been no different. The good news is we should have no drought in the NY area this year.
Coffee wise, Summer doldrums seem to have set in already. Things have been quiet as has been typical for the summertime. Some of it is the weight of the large Brazil crop now upon us. As the market rallied above 120.00 early last week, Brazil offers became a little more aggressive and we heard tale of some Brazil business being reported. A crazy Real certainly kept folks on their toes as well. By the end of the week the currency, and the market had calmed down quite a bit, and things became quieter again.
In Colombia things have been tough. Exporters hindered from being aggressive by a strong internal market, with offers about 1-2 cents above buyer’s expectations, and very limited business reported. All things being equal we should be well into the Mitaca right now, though reports of heavy rains might be slowing this down a bit and have us concerned now for the main crop if it continues as it has.
Centrals remain quiet as most are well sold by now, some starting to talk about 2019, while Peru takes their place in the line, and some fresh biz reported there.
The terminal market continues very rangebound 115/125 this 10-cent range seems very strong at the moment, but most seem to feel the break is going to come to the lower support, as do I, though not quite yet.
We have Sumatra arriving June 25th, along with fresh deliveries of Yirgacheffe, Tarrazu and Antigua.
John & Joe