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Daily Coffee Report 6/3/26

By: StoneX Coffee Team, Softs Coffee Miami

Arabica coffee futures made one more attempt to regain the 263.00 level in the main Jul26 contract, as mentioned yesterday, but only reached 261.70 at the open before strongly rejecting the move higher. The market then opted to make new initial lows during the early hours, reaching 253.45 before staging a significant bounce back to 257.25.

A brief period of sideways trading followed, as many traders likely contemplated the probabilities of a second attempt above 263.00. At the same time, the U.S. Dollar Index was showing strength, while the Brazilian real weakened against the dollar, moving from 5.02 yesterday to 5.13 today.

When selling resumed in the coffee market, noticeable pressure emerged below 255.00, extending losses to new session lows at 252.40. The contract settled at 253.10, with the last trade recorded at 252.65, a level not far from the day's low, adding further pressure on the market as it moves toward the next support area around 244.00.

The Jul/Sep switch augmented volatility after breaching the 5.80 support level mentioned yesterday. It traded within a wider range of 5.05 to 6.30 today. The switch also attempted to regain the 5.80 level after making its first new low, but only reached 6.05. This action alone nearly doubled the switch volume, with a total of 16,250 lots traded compared to 9,496 yesterday.

Furthermore, Robusta broke away from the consolidation zone defined by the 8-day and 20-day moving averages, triggering selling below 3,430. This level should now act as resistance, with the next support levels located around 3,260 and, below that, at 3,170.

More of the same was seen in certified stocks, with another reduction of 4,941 bags, bringing the total number of certified bags down to 427,840.

Miami                                                London                                Brazil                           

305-925-4847                                  +44-203-580-6099            +55-34-3199-1550     

ICE Arabica

Source: Refinitiv 
Source: Refinitiv 
Source: Refinitiv

Volume:

52,227

ICE Robusta

Source: Refinitiv 
Source: Refinitiv 
Source: Refinitiv

Volume:

35,048

Brazil Arabica

Source: Refinitiv 
Source: Refinitiv

Volume:

874

Arabica-Brazil Arbitrage

Source: Refinitiv 

Arabica-Robusta Arbitrage

Source: Refinitiv 

Arabica Switches

Robusta Switches

Source: Refinitiv 
                             Source: Refinitiv 
  • Coffee

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