Commodity market: Metal and coffee prices fall simultaneously

Red continued to cover the world raw material market in the first trading session of the week, in which metal and coffee prices both decreased.

According to the Vietnam Commodity Exchange (MXV), at closing, the MXV-Index extended its decline to the third consecutive session, losing more than 0.7% to 2,206 points.

The metal commodity market is in the red. Source: MXV

Closing yesterday's trading session, the metal group recorded overwhelming selling pressure across all 10 commodities.

For the precious metals group, silver prices fell more than 0.6% to $36.9/ounce. According to MXV, the pressure on silver prices mainly comes from the rising value of the US dollar, along with concerns about the consumption outlook in the international market.

The Dollar Index rose 0.31% to 97.48 yesterday. The strengthening of the US dollar has made commodities priced in this currency, such as silver, more expensive for investors using other currencies, causing silver prices to fall.

The industrial raw material commodity market is dominated by selling force.

Source: MXV

Not out of the general trend, the industrial raw materials market also recorded overwhelming selling pressure with 7/9 items closing in red.

Arabica coffee prices continued to fall for the fifth consecutive session to their lowest level in the past eight months, closing at $6,134 per ton, a decrease of nearly 4%. Robusta coffee prices also lost more than 4.1% to $3,526 per ton.

According to data from the ICE EU Exchange, the net long position from investment funds decreased to 37.53% in the trading week ending July 1, bringing the total net long position down to 1,002 contracts, equivalent to about 167,000 bags of coffee.

The sell-off was largely driven by expectations that global supplies will increase in the second half of the year thanks to a new harvest in Brazil, putting downward pressure on coffee prices.

In addition, according to data from the Vietnam Customs Department, coffee exports in June reached 118,000 tons, a sharp increase of 54% over the same period last year. In the first 6 months of the year, the total amount of coffee exported from our country increased by 4.5% over the same period last year.

Domestic coffee prices also recorded a trend in line with the general trend in the international market. Specifically, Robusta prices in Lam Dong were 93,500 VND/kg, down 2.5% compared to yesterday, Robusta coffee prices in Dak Lak were 94,000 VND/kg, down 2.4%.

Source: https://hanoimoi.vn/thi-truong-hang-hoa-gia-kim-loai-va-ca-phe-dong-loat-giam-708379.html