Good afternoon and happy Monday to all
Be careful what you ask for, you may get it. It’s finally hot here, really hot. Very hot. Did I say it was hot?
Coffee market knew summer was coming and has gone into summer mode without much going on. The terminal market remains rangebound though this morning it finally broke 115.00 and closed below it. That leads me to be concerned for the downside from here. With just a few days left before FND in July, origin is probably a little behind with some fixing to do that won’t help the trend.
We’re not seeing much demand and those who need coffee seem to be concentrating on 2019 already. Brazils trading at very low levels differentially, trade seeming to fade origin a bit. Colombia is doing absolutely nothing. Election behind them now, they move forward but the lower C isn’t bringing many sellers to the internal market. Buyers about 2 cents from sellers, neither side moving. Centrals quiet mostly done. Peru moving some coffee, though also not aggressively, not thrilled with outright values.
We have Sumatra about a week away now. We sold a few bags of the Antigua last week, very nice lot (we think) get it before it’s gone (our supplier says they’re done for the year). Tarrazu and Yirgacheffe 2 in the warehouse now. Some fresh Excelso now in Continental last week.
If we can be of help, please let us know
John and Joe