London Coffee Futures Likely To Fall

London coffee futures is expected to ease on producer sales at the start of the new year, traders said on January 2. New York markets are closed on January 2 to mark the death of former President Gerald Ford. London robusta coffee futures risked falling under the weight of Vietnamese producer selling, traders said. Heavy origin selling from (top robusta producer) Vietnam (is) continuing," Redtower Research said in a daily research note, noting support in March at $1,571 a tonne and resistance at $1,609. Coffee prices in Vietnam, the world's second largest producer after Brazil, held steady in the past week, supported by fresh supply from the coffee harvest and robust export demand, traders said on January 2. A kilogram of robusta was offered at around 21,600 dong to 21,800 dong ($1.34-$1.35), similar to price levels in the past three weeks, traders said. Vietnamese robusta grade 2, 5 per cent black and broken were also stable at around $1,475 on January 2, on free-on-board basis, unchanged compared to last week. Vietnam's latest coffee output is expected to rise 32 per cent from the previous season to 15.83 million bags, with two-thirds of a bumper harvest now completed. One bag contains 60 kg of coffee beans.