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Grain market mixed, oil eases
LONDON, Oct 27 : Oil prices eased slightly after reaching Gulf war high and grain prices were mixed in London markets reports AFP.
Brent Crude, the bench-i mark for North Sea Petroleum production, eased on a technical correction after the previous weeks rise to a Gulf-war high.
COFFEE : Hesitant. Prices fluctuated irregularly downwards weakened by news of rain in Brazilian producer regions recently affected by drought. Jorge Cardenas, leader of the Colombian Coffee Producers Federation, forecast that the 1991-92 harvest of the world number-two producer, would Increase eight percent on the previous season, to 15.6 million 60-kilo sacks.
Nevertheless, losses were restricted by a slight tightening of supplies due, according
to traders, to a U.S. trade house taking delivery of an amount of Ivorian Robusta, estimated between 2000 and 10,000 tonnes.
SUGAR: Quiet. Prices moved in a narrow band as operators awaited signs of Soviet buying and the market continued to lack major developments. Rumous that a French trade-house had taken delivery of 200,000 tonnes of EEC sugar for resale either to the Soviet Union or to Algeria were unconfirmed.
COCOA : Irregular. Prices were affected early in the week by the start of harvests in the Ivory Coast and Gana and by fears that these new supplies would flood the market. Estimates from the Ghana Cocoa Board, indicating that the Ghana!nan harvest for 1991 92 could reach 300,000 tonnes, contributed to the fall as did recent grinding figures
which showed a net slowdown in consumption growth.
The market then recovered partially as buyers took advantage of low prices, and thanks to rumours that production In the Sabh region, which produces around 60 per cent of Malaysian s harvest, could fall by over 30 per cent during the current season. But they resumed the downward trend at the end of the week.
VEGETABLE OIL : Firmer. Vegetable oils progressed as operators expected pressure from the GATT talks to result in a reform of EC aid to oilseed producers.
Copra oil was supported by fears of reduced world production. According to the Asian and Pacific Coconut Community, Filipino production of copra could fall to 2.07 million tonnes in 1991. against 2.47 million last year.
Prices for soya grains benc-
fitted from the maintenance at 14.77 million tonnes of the official Brazilian estimate of 1990-91 production, against 19.89 million the previous year.
OIL : Easier Brent Crude prices continued to fall in a technical correction of the previous week's rise to 23 Dollars a barrel. Analysts Judged the trend to be a normal market reflexion and said it did not indicate a change in the fundamental situation.
TEA : Firm. Demand Improved at the weekly London auction where average prices rose to 220 pence per kilo, from 200 pence, for quality grade, to 117 from 115 for medium grade and to 74 from 72 for low-medium.
WOOL : Steady. Firmer Australian and South African prices encouraged the trend in Europe. But traders indicated the market remained weak, due notably to the 4.5 million tonnes of stocks held in Australia