27 Jul 2020
The latest Commitment of Traders report from the New York arabica market has seen the Non-Commercial Speculative sector cut their net short position within the market by 14.46% over the week of trade leading up to Tuesday 21st. July: to register a new net short sold position of 20,293 Lots which is the equivalent of 5,752,976 bags. This net short position has most likely been decreased, following the period of mixed but overall sideways positive trade that has since followed.
The latest Commitment of Traders report from the London Robusta coffee market has seen the Speculative Managed Money Sector of this market cut their net short sold position within the market by 40.01% over the week of trade leading up to Tuesday 21st. July; to register a short-sold position of 24,989 Lots.  This net short sold position is the equivalent of 4,164,833 bags and has most likely been dramatically decreased following the period of mixed but overall positive trade that has since followed.
The analysts Safras & Mercado have estimated that almost 71% of the new Brazil coffee crop has already been harvested. This based on the Safras & Mercado forecast for a new crop of 68 million bags, the report would indicate that so far approximately 48 million bags of the new crop have been harvested. These coffees made up from approximately 18 million bags of conilon robusta coffees and approximately, 30 million bags of arabica coffees.
The Brazil harvest this year is at a slower pace, compared to the same week in 2019 when approximately 83% of the crop was harvested, although the size of this biennial bearing larger crop can be attributed to the slower harvest time this year. Mild to warm temperatures are forecast to prevail over the next week throughout the Brazil Coffee belt.
The September to September contract arbitrage between the London and New York markets widened on Friday; to register this at 46.81 usc/Lb. This equates to 43.18% price discount for the London Robusta coffee market.
The Certified washed Arabica coffee stocks held against the New York exchange were seen to decrease by 180 bags on Friday to register these stocks at 1,597,752 bags, with 94.1% of these certified stocks being held in Europe at a total of 1,504,260 bags and the remaining 5.9% being held in the USA at a total of 93,492 bags. There was meanwhile no change to the number of bags pending grading for this exchange; to register these pending grading stocks at 7,451 bags.
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