Raw material market covered in red

According to the Vietnam Commodity Exchange (MXV), red continued to spread across the world raw material market in yesterday's trading session.

At the close of trading on August 19, the MXV-Index lost 0.5% to 2,168 points.

Industrial materials were the only exception, with the group index rising thanks to the breakthrough of coffee. Specifically, Arabica coffee prices recorded an increase of more than 3.6% to 7,852 USD/ton while Robusta coffee prices also increased by more than 6.1% to 4,410 USD/ton, the highest level in more than two months. This decline mainly stemmed from concerns about supply shortages in Brazil.

According to data released by the Brazilian Coffee Exporters Association (Cecafe), the country's coffee export output in July reached only 2.73 million bags, down 27% compared to the same period in July 2024, when Brazil exported 3.78 million bags.

August is also forecast to see a similar downward trend, with exports estimated at around 2.8 million bags, down 26.55% year-on-year, when exports reached 3.81 million bags.

Domestically, export businesses said that due to high coffee prices and increased competitive pressure, most current orders are mainly pre-delivery contracts.

With current domestic prices, many exporters are worried about losing money when selling, leading to many warehouses not purchasing and slow trading activities.

Regarding the weather in Dak Nong in the past 10 days, the alternating periods of sunshine and rain have created very favorable conditions for coffee trees to grow. According to records, the coffee gardens here are growing well, bearing fruit and are less affected by weather and pests. People expect the next crop to have a high yield.

In the metal market, selling pressure dominated, with 8 out of 10 commodities weakening simultaneously. In particular, COMEX copper prices recorded a second consecutive decline, losing 1.08% to 4.42 USD/pound, equivalent to 9,749 USD/ton. According to MXV, the continued strength of the USD along with the prospect of abundant supply put pressure on the copper market during the session.

The Dollar Index continued to rise by 0.1% to 98.27 points. This development makes commodities priced in USD, such as copper, less attractive to investors using other currencies, thereby putting downward pressure on this commodity.

Source: https://hanoimoi.vn/thi-truong-hang-hoa-nguyen-lieu-bao-trum-sac-do-713298.html