Arabica coffee futures settled modestly higher on Tuesday, with prices consolidating after an active session dominated by spread trading between the two front-month contracts, traders said. The New York Board of Trade's front-month September contract settled up 0.30 cent at $1.0260 a lb. after trading from $1.0155 to $1.0360.
"Initially the market looked like it was going to get a little bit of a spanking. Technically, we did hold above $1.0150 and the market was able to consolidate between $1.02 and $1.03," said a trader. "The limited amount of selling allows the market really to drift where ever it wants to at the moment.
There is not a lot of paper coming out of Europe because many of the European companies are on holiday mode," he added.
Among other arabicas, December gained 0.40 cent to $1.0735 and the back months-advanced 0.35 to 0.40 cent. Volume fetched 21,834 contracts, although turnover had been dominated by spread trading between the September and December contracts ahead of the front-month contract's first notice day for delivery on August 23.
In other coffee markets, bellwether robusta coffee futures in London closed down 0.9 percent, while nearby arabicas in Sao Paulo were narrowly mixed by 12:30 pm EDT (1630 GMT).
Comments
Comments are closed.