Coffee Traders' Forum - A Discussion about Coffee Futures Trading
Coffee Traders Discussion Forum
Year-end mood in Brazil. Most of the exporting companies will be closed until January 02nd. Ourselves included.
Few trades and very low volume changing hands. Demand remains solid for first semester at extremely tight differentials.
Nothing much again to add with coffee market slowly coming to a halt. Producers and exporters seem to be done for the year.
Investment funds kept increasing their already record short position.
There are several hints showing they are stretching too much the rubber band, such as lower shipments from key origins, coffee stocks declining abroad, lower crop perception in Colombia, tightness and exhausted carry-over stocks in Brazil, however not calling their attention.
December so far, except for Northern areas where excellent rains have fallen, has been drier with rains below average and falling irregularly at the key areas of Sao Paulo and Minas Gerais. According to Somar more generalized rains will fall by the last week of December.
If they are correct it would be similar to October and November when normal levels were achieved by the last week of each month.
Like Brazilian salary, once a month and of course if luckily you have a job.
Shipments in December according to CECAFÉ site continue decreasing. Numbers will probably be below November.
Certificate emissions - 2.214.805 - -10,3%
Effective shipments - 1.379.436 - -8,3%
It will be the last report of the year, truly hope we have helped somehow with information we have seen and shared with you throughout the year.
Terra Forte Trading Desk
We would like to take this opportunity to wish you all a healthy, full of happiness, peaceful Christmas and a prosperous new year.
Kindest regards and looking forward to getting back together next year.
João Alexandre, Joaquim, Neto, Nelsinho, Fabio e Heloisa.