LONDON :Robusta coffee futures on ICE rebounded on Thursday after setting a 2017 low as the market’s recent slide at least temporarily ran out of steam.
The market’s recent weakness has been driven partly by signs that Brazil may decide not to import robusta despite an internal shortage of the variety.
“We’ve had a few down days and a little bit of early follow-through (selling) and the market has run out of sellers for the time being. So it has rebounded a little,” one dealer said.
The instant-coffee industry has requested that imports be allowed but the proposal has been opposed by farmers.
“It is still lurking in the background but I don’t think they are going to allow coffee in,” the dealer added.
March robusta coffee futures were up $23, or 1.1 percent, at $2,129 per tonne at 1440 GMT. The front month earlier fell to $2,092, its lowest since Dec. 29.
March arabica coffee rose 2.20 cents, or 1.5 percent, to $1.4510 per lb.
Source : www.brecorder.com