In Brazil, there is a growth in the flow of business in the physicals and a greater interest in forward positions with the future crop. Growers sought to take advantage of the rise to secure positions. After all, the physical price, even with weaker differentials, ended up advancing well supported by the surge on ICE US and exchange rate volatility.
The finest cups and cherry coffee were above BRL 900 per bag, while good cups were close to the level of BRL 900 per bag. Rio coffee is once again moving above BRL 700 per bag, and conillon has managed to move away from the level of BRL 600 per bag. An important change, which helped unlock business.
It is worth remembering that good cup from the south of Minas Gerais, which changed hands at BRL 780 per bag at the end of September, reached BRL 880 at the beginning of this week, an increase of BRL 100 per bag. The losses in New York indeed impacted the market, and the price of a good cup ended up falling to BRL 860. However, it still maintains good progress and continues to signal an opportunity for those growers who lack liquidity or sold little of the current crop.