Arabica Futures Rebound CoffeeNetwork - Arabica prices on the InterContinental Exchange were trading 5.70 higher for the March contract, last seen at 186.90. Volume was very good with 13,183 contracts at the time of writing.
Arabica futures higher today. The recent volatility reflects the many fundamentals unknown of the market, including more accurate assessments of Brazil’s 2024-2025 crop and the global supply/demand balance. Many of the major roaster/retailers will publish their Q4 2023 financial reports in the coming weeks, which should give a good indication to the market on demand. Technically, short covering today is most likely responsible for the move higher. Spec buying on the technical strength was also noted. Very good volume is observed today, both outright and in the switches. Good buying of the arbitrage. CONAB will publish their first official estimate for the 2024-2025 crop on January 18th. The StoneX team will be conducting a second crop tour later this month, and will publish their forecast for the crop based on their observations in the weeks to follow.
Robusta futures are also higher today as the market continues to see higher demand amid a decline in supplies from major producers, such as Vietnam and Indonesia. Selling is also limited as producers hold back supplies waiting for prices to move higher.
Commodities are mixed today. US consumer prices rose by 0.3% from a month earlier in December 2023, the most in three months, up from a 0.1% in November. The number of Americans filing for unemployment benefits fell by 1,000 from the previous week’s upwardly revised value to 202,000 on the period ending January 6th.
Brent Crude Oil rose 2.16% to 78.46 and Spot Gold Futures inched 0.08% higher to 2,025.97.
The Dow Jones Industrial Average ticked 0.65% lower to 37,450.06 and the Stoxx Europe 600 Index was last seen at 475.36, down 1.06%.
The StoneX Group Inc. group of companies provides financial services worldwide through its subsidiaries, including physical commodities, securities, exchange-traded and over-the-counter derivatives, risk management, global payments and foreign exchange products in accordance with applicable law in the jurisdictions where services are provided. References to over-the-counter (“OTC”) products or swaps are made on behalf of StoneX Markets LLC (“SXM”), a member of the National Futures Association (“NFA”) and provisionally registered with the U.S. Commodity Futures Trading Commission (“CFTC”) as a swap dealer. SXM’s products are designed only for individuals or firms who qualify under CFTC rules as an ‘Eligible Contract Participant’ (“ECP”) and who have been accepted as customers of SXM. StoneX Financial Inc. (“SFI”) is a member of FINRA/NFA/SIPC and registered with the MSRB. SFI is registered with the U.S. Securities and Exchange Commission (“SEC”) as a Broker-Dealer and with the CFTC as a Futures Commission Merchant and Commodity Trading Adviser. References to securities trading are made on behalf of the BD Division of SFI and are intended only for an audience of institutional clients as defined by FINRA Rule 4512(c). References to exchange-traded futures and options are made on behalf of the FCM Division of SFI . StoneX is a trading name of StoneX Financial Ltd (“SFL”). SFL is registered in England and Wales, Company No. 5616586. SFL is authorized and regulated by the Financial Conduct Authority [FRN 446717] to provide to professional and eligible customers including: arrangement, execution and, where required, clearing derivative transactions in exchange traded futures and options. SFL is also authorised to engage in the arrangement and execution of transactions in certain OTC products, certain securities trading, precious metals trading and payment services to eligible customers. SFL is authorised & regulated by the Financial Conduct Authority under the Payment Services Regulations 2017 for the provision of payment services. SFL is a category 1 ring-dealing member of the London Metal Exchange. In addition SFL also engages in other physically delivered commodities business and other general business activities which are unregulated and not required to be authorised by the Financial Conduct Authority. StoneX Group Inc. acts as agent for SFL in New York with respect to its payments services business. StoneX APAC Pte. Ltd. acts as agent for SFL in Singapore with respect to its payments services business. ‘StoneX’ is the trade name used by StoneX Group Inc. and all its associated entities and subsidiaries.
Trading swaps and over-the-counter derivatives, exchange-traded derivatives and options and securities involves substantial risk and is not suitable for all investors. Past performance of any futures or option is not indicative of future success. Indicators are not a trading system and are not published as a specific trade recommendation. The information herein is not a recommendation to trade nor investment research or an offer to buy or sell any derivative or security. It does not take into account your particular investment objectives, financial situation or needs and does not create a binding obligation on any of the StoneX group of companies to enter into any transaction with you. You are advised to perform an independent investigation of any transaction to determine whether any transaction is suitable for you. No part of this material may be copied, photocopied or duplicated in any form by any means or redistributed without the prior written consent of StoneX Group Inc.
© 2024 StoneX Group Inc. All Rights Reserved.
Discover more insights
