Physical coffee market slightly improves, following the dollar

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Physical market at a slower business pace, highlighting the greater interest in selling conillon after the strong rally on ICE Europe. Overall, the flow of business with arabica has improved a little, but is still very concentrated on medium to weaker cups. The supply of better cups remains very short, with growers holding these descriptions in wait for a better selling time. In general, the weekly price curve had a stable to slightly higher performance, following the dollar, except for conillon and the finest cups, which found room for more significant gains.

Fine cup from Cerrado of Minas reaches BRL 565 to 570 per bag, with a very short supply. In the south of Minas, good cups range from BRL 530 to 535 per bag. In Mogiana Paulista the idea also ranges from BRL 530 to 540 for good cup in the physicals. The forward sale commitments for Sep/2021 are indicated between BRL 570 and 580 for fine cup in Cerrado/Mogiana, and BRL 545 to 550 for good cup in the south of Minas. The idea for Sep/2022 ranges from BRL 570 to 610 per bag, depending on description and origin.

Rio cup in Matas de Minas region is pegged at BRL 390 per bag. Internal demand continues to work on a hand-to-mouth basis. Conillon found support in external gains. In Colatina, type 7 is around BRL 405 to 410 a bag.