Arabica coffee prices increased by 2.47%.

Báo Công thương•17/12/2024

At the close of trading on the first day of the week, Arabica coffee futures for March 2025 increased by 2.47% and Robusta coffee futures for March 2025 increased by 0.37% compared to the reference price.

The Vietnam Commodity Exchange (MXV) reported that red dominated the global raw material price chart yesterday (December 16). Industrial raw materials attracted attention by bucking the general market trend. Notably, cocoa prices continued to surge to historical highs amidst concerns about supply shortages. Meanwhile, the metals market was relatively quiet in the first trading session of the week. At closing, the MXV-Index fell 0.12% to 2,221 points.

Thị trường hàng hóa hôm nay 17/12: Giá cà phê Arabica tăng 2,47%

MXV-Index

Cocoa prices continue to reach historical highs, while coffee prices surge.

Closing the first trading session of the week, the MXV-Index for industrial raw materials rose, going against the general trend of the entire market. The focus of the market was on cocoa as its price returned to the historical peak set in April of this year.

Industrial raw material price list

Specifically, cocoa prices on the Intercontinental Exchange (ICE-US) rose by 4.61% yesterday, reaching a new all-time high. During the session, prices briefly approached $12,000 per ton. Speculators continued to increase their purchases due to concerns about supply shortages.

Cocoa exporters in Ivory Coast estimate that between October 1st and December 8th this year, cocoa arrivals at ports increased by 34% compared to the same period last year. However, this high increase is due to the fact that in 2023, Ivory Coast's harvest and export volume were low and significantly reduced. Compared to 2022, cocoa imports are approximately 12% lower. Current drought conditions in Ivory Coast are raising concerns that this will affect future yields and production.

Previously, cooperatives stated that the majority of the main harvest had been completed in November, and shortages were expected to continue into February or March. Meanwhile, multinational exporters are concerned that they may not be able to fulfill orders due to supply shortages from farmers in the coming months.

Besides cocoa, coffee prices also recorded good gains yesterday, especially Arabica coffee. Accordingly, the price of Arabica coffee futures for March 2025 increased by 2.47% and the price of Robusta coffee futures for March 2025 increased by 0.37% compared to the reference price. Below-average rainfall in Brazil's main coffee-growing region has revived concerns about supply in Brazil amid conflicting fundamental information.

The Somar Meteorological Agency reported that rainfall in Minas Gerais, Brazil's largest Arabica coffee-producing state, reached only 35.2 mm last week, just 65% of the historical average. This means Brazil's main coffee-growing region has consistently recorded low rainfall since April. This negatively impacts the development of coffee plants for the 2025-2026 crop year, leading to a negative supply outlook.

In the domestic market, coffee prices in the Central Highlands and Southeast regions this morning (December 17th) were recorded at 123,500 - 125,200 VND/kg, unchanged from December 16th. However, compared to the same period last year, coffee prices have now doubled.

The metals market is experiencing mixed performance.

According to MXV, at the close of trading on the first day of the week, the metals market showed clear divergence with 5 commodities increasing in price and 5 decreasing. However, all commodities recorded low volatility, changing by no more than 2%. For precious metals, platinum prices recovered with a 1.89% increase to $941.8 per ounce. Silver prices edged up slightly by 0.09% to over $31 per ounce.

Metal price list

Precious metals are considered a safe haven during economic downturns. Therefore, investors have shifted their funds into this investment channel, supporting the prices of silver and platinum. In addition, Citigroup recently forecast that demand for gold and silver will remain strong until US interest rates remain stable. Prices for both metals are expected to continue rising and peak in late 2025 or early 2026.

For base metals, COMEX copper prices fell 0.14% to $9,239 per ton, marking the fourth consecutive day of declines. Copper prices are under pressure from concerns about sluggish consumption in China, particularly after the country released negative economic data that worsened the outlook for copper demand.

Specifically, according to data released yesterday by China's National Bureau of Statistics (NBS), retail sales unexpectedly slowed in November, despite recent government stimulus packages. In November, China's retail sales increased by only 3% year-on-year, significantly lower than the forecast of 4.6% and the 4.8% increase in October. This is also the lowest level in the past three months.

Furthermore, data from the National Bureau of Statistics (NBS) also indicated that real estate investment in the country decreased by 10.4% in the first 11 months of the year, a slightly sharper decline than the 10.3% decrease in the 10-month period. Meanwhile, fixed asset investment increased by only 3.3%, 0.2 percentage points lower than forecast and the lowest level since December last year.

Prices of some other goods