Coffee has low days on ICE Futures U.S. media and breaks

Coffee has low days on ICE Futures U.S. media and breaks

The Arabica coffee futures contracts traded on ICE Futures U.S. closed on Tuesday with new low, a further movement of settlement funds and speculators. Some major carriers have been tested on a day when the external environment proved favorable with the general commodities with recovery, the international stock markets also managed gains and the dollar taking a slight decrease in relation to a basket of international currencies. Operators noted that the loss of coffee came in the wake of a framework overbought and due to technical aspects, since price levels considered strategic, at least for the short term, were severed, which gave strength to the bearish (bass) becoming issue new sales orders.

The CRB index, which measures a group of 19 of the most important international commodities, ended the day with an appreciation of 1.24%, supported by gains in several markets, including oil, wheat, soybeans, gold, silver, the while the softs in general declined, with losses more intense giving in the coffee market.

At the close of day, in July in New York was down 480 points to 282.60 cents, being the maximum and minimum in 290.45 281.65 cents per pound, with September recording a negative swing of 485 points, with the 285.45 cents a pound, being the maximum and minimum in 293.35 284.60 cents per pound. Euronext / Liffe in London, the position in July recorded low of 17 dollars, with $ 2,585 per tonne, with the devaluation of September with $ 15, with $ 2,609 per tonne.

According to international analysts, the opening day there was a level interesting, above the close of last session and it gave some perspective to new purchases, which allowed the market to return to the level of 290.00 cents, without, however unable to approaching the high of Monday, which stood at 294.25 cents, a level that, technically, already showed some weakness in relation to more immediate resistance last week. With the purchases are showing very reticent, the market regained strength on the seller, with bearishs (bass) expanding its offerings. Initially, in July touched 282.30 cents, and from that point, started to record stock buybacks. But with the lack of power for the high, a new action saleswoman was recorded and the losses have widened. "Technically, we believe that a bass player closing down 285.00 cents, as seen today. It is possible that some players try to make the market look over two of the mainstays considerable 272.00 and 256.00 cents per pound, which , was effectively tested, could be an indication of the End of a Tall coffee, "said one trader.
The second estimate of production of Arabica coffee and conillon conducted by the National Supply Company for the 2011 season indicates that Brazil should harvest 43.54 million bags. This represents a decrease of 9.5% compared to 48.09 million bags the previous season. The reason for the reduction of the product is the biennial, which is the cycle of low productivity. Coffee exports from Brazil in May, up to nine days, amounted to 319,806 bags, against 300,786 bags during the same period of April, the Cecafé (Council of Coffee Exporters of Brazil).

The stock certificates for coffee in New York Stock Exchange rose by 6,270 to 1,631,255 bags bags going. The volume traded on the ICE Futures U.S. was estimated at 18,196 lots, with options with 4,235 calls and 5,389 puts. Technically, in July at ICE Futures U.S. has a resistance at 290.45 to 290.50, 291.00, 291.50, 292.00, 292.50, 293.00, 293.50, 294.00, 294, 50 and 294.90 to 295.00 cents a pound, with the support at 281.65, 281.50, 281.00, 281.50, 281.00, 280.50, 280.10 to 280, 00, 279.50 279.00 and 278.50 cents per pound.