ETF Securities’ Siano sees increased interest in coffee at Borsa Italiana
LCFE MI price is up 221% year to date, ETF Securities’ head of France and Italy Massimo Siano highlights.
Increased rain seems to have reduced stress in many areas, but in Minas Gerais which (produces 70% of Brazil’s Arabica), was still very dry.
Rain brought much-needed relief from heat and dryness to the south, helping to stabilize soybeans, corn, and other summer crops after a brief but significant period of stressful growing conditions.
After several days of continued heat and dryness (daytime highs from 37 to 40°C), showers and milder weather finally developed from Rio Grande do Sul to Parana, with most areas recording more than 25 mm. Similar amounts were recorded from Mato Grosso do Sul and southern Mato Grosso to western Minas Gerais, areas which had also been drier than normal for more than 1 week; in fact, it was the first substantial rain in the sugarcane region of Sao Paulo since the middle part of January.
In contrast, dry, unseasonably warm weather persisted in coffee areas of southern Minas Gerais and Espirito Santo. Meanwhile, rainfall increased to more than 100mm in sections of central Mato Grosso, boosting moisture for second-crop (safrinha) corn. As in the south, the rain ushered cooler weather into central and southeastern Brazil, although daytime highs prior to the showers were mostly in the middle 30s (degrees C) range.
Rain also returned to the northeastern interior (notably Tocantins and western Bahia), although pockets of dryness (less than 25 mm) lingered in the vicinity of eastern Goias. Mild (daytime highs reaching the lower 30s) seasonably drier conditions (rainfall below 10 mm in most areas) fostered growth of irrigated sugarcane and cocoa along the northeastern coast.