After fluctuations caused mainly by good weather and harvest conditions in Brazil for cocoa and coffee, commodities once again opened higher on the New York Stock Exchange. According to analysts, this unclear movement of ups and downs shows that the market has entered the window for making profits with futures contracts.
In the case of coffee, lots due in July operate at US$2.2465, an increase of 1.26%. According to analyst Marcus Magalhães, the grain market “galloped” in the last 15 days, but since last Thursday (18/4) it has been drawing a downward curve due to high speculation, which puts prices at higher levels. “rational and practicable”.
“Nothing rises or falls in a defined way. It is time to recalibrate strategies, in the case of the producer, as technical profit achievements and rearrangement of portfolios are experienced, although it is not a rearrangement of trends”, he says. As a result, coffee should remain volatile on the American stock market, adds the analyst.
Another projection by the expert is that there will be a short space to start repurchasing bags of coffee, while the harvest is not over and the harvests begin.
Cocoa shares for July follow the same tone and rise 3.17%, quoted at 10,775 per ton. Prices may enter a technical correction phase, but the upward trend is expected to continue, as the world will face the third consecutive deficit in this 2023/24 season due to the progress of the harvest in the main producers Ivory Coast and Ghana.
In the cotton business, contracts for July open practically stable, with a slight negative change of 0.04%, quoted at 81.69 cents per pound. Following the same logic, demerara sugar futures contracts fell 0.51% this morning, remaining at 19.57 cents per pound.
According to Magalhães, the market remains volatile, even though there is a “wave of calm in the markets, which have started to make profits and are guided by a reduction in the geopolitical temperature, especially between Israel and Iran”, he adds.
For him, international attention should focus in the coming days on variations in the dollar, which reflect insecurity about the possibility of lowering interest rates in the United States.
