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Coffee prices up

NEW YORK: CSCE coffee futures settled modestly higher and in the middle of the session's tight range Tueday as speculative and light roaster buying lifted prices, traders said.

May coffee ended up 1.10 cents at 114.65 cents a lb after trading between 113.55 and 115.50. Second-month July closed up 1.05 at 115.15, while the back months settled up 0.60 to 1.60.

Traders said May ran into some resistance at the session's high of 115.50, with the next level seen around 116.50. Support was pegged at 112.50.

One analyst said near-term stocks were in short supply and should continue to provide good underlying support, but that the anticipation of a large crop next season has been weighing on the market.

"The easing of backwardation and the narrowing of premiums reflect larger supplies and lower consumption," he said.

Volume reached an estimated 8,300 lots, down from Monday's official turnover of 12,255.-Reuter