Silver attracts capital, coffee prices plummet.

Selling pressure intensified in the metals market. Source: MXV

At the close of the trading week, the MXV-Index fell nearly 0.2% compared to the previous week, retreating to 2,348 points, reflecting the cautious sentiment of investors.

According to the Vietnam Commodity Exchange (MXV), the metals group saw overwhelming buying pressure, with 9 out of 10 commodities experiencing price increases. Notably, silver prices continued to set new historical highs and marked their fourth consecutive week of gains.

At the close of the week, silver prices on the COMEX exchange reached $67.49 per ounce, up approximately 9% from the end of the previous week, becoming one of the commodities attracting the strongest capital inflows in the market.

The main driver supporting the rise in silver prices comes from expectations that the US Federal Reserve (FED) will soon shift to a more dovish monetary policy stance. The US Consumer Price Index (CPI) for November rose 2.7% year-on-year, lower than forecasts, while the unemployment rate climbed to 4.6%, the highest in four years. This development put downward pressure on the US dollar, thereby increasing the attractiveness of precious metals.

In addition, global silver supply continues to be in deficit, while medium- and long-term demand is supported by the green energy transition.

Domestically, as of December 20th, the price of 999 silver recorded an increase of approximately 2.3% compared to the previous week. In Hanoi , the price of 999 silver was listed at around 2.13 - 2.16 million VND/ounce (buying price - selling price), while in Ho Chi Minh City it fluctuated between 2.14 - 2.17 million VND/ounce.

The metals market is dominated by red. Source: MXV

Conversely, the industrial raw materials market was in the red, with coffee at the center. By the end of the week, Arabica prices had fallen nearly 7.8% to $7,510 per ton, while Robusta lost more than 8.3%, retreating to $3,778 per ton.

The downward price pressure mainly stems from Vietnam – the world's largest producer of Robusta coffee – entering the peak harvest season of the new crop year.

According to MXV, in the first half of December, Vietnam's coffee exports increased sharply compared to the same period last year, reaching over 76,000 tons, a more than 50% increase year-on-year, leading to significant selling pressure on the international market. At the same time, many major producing regions such as Brazil, Colombia, and Ethiopia also entered their harvest season, increasing short-term supply.

Domestic coffee prices fluctuated around 90,000 VND/kg this week, a decrease of more than 12,000 VND/kg compared to the previous week.

Source: https://hanoimoi.vn/bac-hut-dong-tien-ca-phe-lao-doc-727682.html