US arabica coffee trading in the open-outcry pit settled down a shade on Monday, after roaster buying helped to claw back from losses pressured by fund selling that took prices to a six-week low, traders said. "Without somebody else coming in and wanting to sell, we had no reason to trade lower," one trader said.
NYBOT open-outcry July coffee slipped 0.80 cent to settle at $1.1020 a lb., while benchmark September fell the same at $1.1200 a lb., after trading in a range from $1.1240 to $1.1080, a low dating back to May 17 for the second month.
The rest closed in a range from 0.05 cent to 0.70 cent lower. On the ICE New York Board of Trade electronic platform at 1:57 pm, September coffee was down 1.10 cents at $1.1170 a lb.
In London, robusta futures climbed on steady roaster demand with the Liffe September coffee ending $31 higher at $1,906, in dealings from $1,876 to $1,924. "We have an inverted head-and-shoulders pattern that we believe is beginning to show, so technically we should be trading higher in the near future based on that," one broker said.
NYBOT estimated 4,304 lots traded in New York open-outcry while traders said more than 12,500 had traded on the ICE platform by 1:10 EDT. This compares to the 5,527 lots officially tallied in floor trade on Friday, when light 7,190 contracts traded on the ICE screen.
As of June 29, open interest fell 596 lots to 155,308 contracts. Meanwhile in the No 1 producer, Brazil's coffee belt will be typically dry and sunny for the next week as harvest of the 2007/08 crop progresses, but a weak cold front will arrive after July 8 to bring showers and cooler temperatures, private meteorologists Saumur said on Monday. No crop damaging frost is seen on the horizon.
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