MXV-Index hits 2,220 points thanks to push from coffee and crude oil

World coffee prices hit a more than three-month high, while crude oil climbed to a three-week high, leading the raw material market last week.

According to the Vietnam Commodity Exchange (MXV), the recovery momentum in key commodities has pushed the MXV-Index up 1.7% compared to last week, to 2,220 points.

Last week, coffee prices hit a 3-month high. Source: MXV

Closing the last trading week (from August 18 to 24), Arabica coffee prices increased by more than 14% compared to the previous week, closing at 8,612 USD/ton, Robusta coffee prices also increased by nearly 16%, reaching 4,866 USD/ton, the highest level in more than three months.

According to MXV, adverse weather developments and lower-than-expected harvests in major producing countries, with many estimates suggesting that the market could have a deficit of 15 to 18 million bags, have impacted coffee prices last week.

In Brazil, which supplies more than a third of the world’s coffee, the current crop is expected to be only 48-55 million bags, a situation exacerbated by the continued sharp decline in Brazilian coffee exports due to tariff pressure.

In the Vietnamese market, the world's largest producer of Robusta coffee, Vietnam's coffee output this crop year is expected to only reach about 27-28 million bags.

Domestic coffee prices are currently fluctuating around 123,000-124,000 VND/kg, however, trading activities are still quite cautious, with not much offered to the market.

Energy markets were green last week with oil prices rising nearly 3%. Source: MXV

In the energy group, the prices of two crude oil products both recorded an increase of nearly 3% next week.

Specifically, at the end of the trading session on August 22, Brent oil price climbed to 67.73 USD/barrel, the highest level in the past three weeks, up 2.85% compared to the previous week; while the weekly increase of WTI oil price reached 2.71%, stopping at 63.66 USD/barrel.

The focus of the energy market this past week has been on the latest developments related to the peace talks in Ukraine. However, the market remains concerned as the relationship between the two countries remains unstable.

Another major driver of oil price gains this past week came from positive indicators of US oil demand.

In addition, the market is also monitoring the latest moves from the US Federal Reserve (FED) on the possibility of cutting interest rates next month. This information has become a significant driving force supporting oil prices in the coming time.

Source: https://hanoimoi.vn/mxv-index-cham-2-220-diem-nho-luc-day-tu-ca-phe-va-dau-tho-713861.html