The US stock market rally has not stopped. Meanwhile, the US dollar has cooled, boosting gold prices to recover this week. Arabica coffee prices recorded the highest monthly increase in a decade.
Financial economic news for the last session of November, the S&P 500 index increased 0.56% to 6,032.38 points. Nasdaq Composite increased 0.83% to 19,218.17 points. Dow Jones increased 0.42% to 44,910.65 points. For the whole month, the Dow Jones and S&P 500 indexes had the best monthly increase in 2024.
Regarding the European Central Bank (ECB) interest rate target, interest rates may be considered to continue to be lowered in December to support the slowing regional economy. Meanwhile, in the US, Mr. Donald Trump threatened to impose a tax of up to 100% on BRICS countries if they do not use the USD, this is a group of emerging economies accounting for 40% of the global population and about 1/4 of the world's GDP.
At the end of the trading session on November 29, the spot gold contract also increased by 0.7% to 2,660.28 USD/ounce; the gold futures contract increased by 0.7% to 2,684.9 USD/ounce. For the whole month, gold has decreased by more than 3% when the USD increased strongly after the US election.
Regarding the USD, last week, this currency also fell to its lowest level in 2 weeks, but in terms of month, it still recorded an increase of 2%.
Meanwhile, oil prices also fell, with Brent crude down nearly $31.3 million for the week and WTI crude down nearly $4.61 million for the week. The OPEC+ group, which includes the Organization of the Petroleum Exporting Countries (OPEC) and Russia and its allies, has postponed its next policy meeting from December 1 to December 5. OPEC+ is expected to decide to extend the production cuts at this meeting.
A severe drought earlier this year in top coffee grower Brazil has cast doubt on the size of the country’s next crop, followed by concerns about the price of the cheaper Robusta variety – grown in large quantities in Vietnam – which has been hit by dry weather during the growing season and heavy rains at the start of harvest.
“Two years of below-consumption global production has left country inventories around a third below the long-term average,” said Steve Pollard, coffee market analyst at Marex Group. Initial reports for Brazil’s 2025/26 coffee crop year point to another annual decline in production, meaning no relief in destination markets in the near future. Stay tuned. HVA to update and grasp the fastest information about the financial market every day.
