Commodity market: Coffee prices recover, oil prices cool down

According to the Vietnam Commodity Exchange (MXV), the MXV-Index inched up 0.3% to 2,167 points.

The industrial raw material commodity market had overwhelming buying power last week. Source: MXV

At the end of the last trading week (from August 4 to 10), buying power dominated the industrial raw material group. In particular, the prices of two coffee products turned to increase.

Specifically, the price of Arabica coffee on the New York floor jumped nearly 9% to 6,819 USD/ton - the strongest increase in many months, while the price of Robusta coffee on the London floor also climbed 7% to 3,561 USD/ton.

Accordingly, coffee trade between the US and Brazil is now in a state of near paralysis, as the 50% tax imposed by the US on Brazilian coffee has officially taken effect. Coffee trading activities in the domestic Brazilian market have also shifted to a wait-and-see mode, with farmers clearly showing caution.

In the domestic coffee market, green coffee exports in the period from July 30 to August 5 reached more than 13,500 tons, down 30% compared to the previous week, with the average FOB export price at 4,536 USD/ton.

The price of green coffee beans in the Central Highlands continues to maintain a good upward trend, at times even increasing domestic prices in the context of falling coffee prices on the London floor.

Red covered the energy commodity market last week. Source: MXV

On the other hand, red covered the entire energy group. Concerns about supply disruptions from Russia, the world's second largest oil producer, gradually decreased.

Of which, the price of two crude oil products decreased in 4/5 trading sessions this week. At the end of the trading week, the price of WTI oil decreased by 5.12%, falling to 63.88 USD/barrel; similarly, the price of Brent oil decreased by about 4.42%, stopping at 66.59 USD/barrel. As of the end of the trading session on August 7, the price of oil has decreased for 6 consecutive sessions.

Another important factor that has put downward pressure on oil prices in recent trading sessions is the decision by the OPEC+ group to increase oil production in September. On August 3, OPEC+ agreed to increase production by 547,000 barrels per day, completing the reversal of all production cuts of up to 2.2 million barrels per day starting from the end of 2023.

Source: https://hanoimoi.vn/thi-truong-hang-hoa-gia-ca-phe-phuc-hoi-gia-dau-giam-nhiet-712166.html