Coffee Futures Market News and Commentary
March arabica coffee (KCH24) on Friday closed down -0.35 (-0.19%), and Jan ICE robusta coffee (RMF24) closed down -39 (-1.49%).
Coffee prices Friday gave up an early advance and posted moderate losses on signs of larger coffee supplies after Honduras, Central America's biggest coffee-producing country, reported its Nov coffee exports jumped +63% y/y to 110,413 bags.
Coffee prices early Friday initially extended Thursday's sharp gains as arabica posted a 5-3/4 month high before falling back. Coffee prices surged Thursday ahead of a new rule that began Friday when the Intercontinental Exchange (ICE) banned the resubmission of old coffee inventories, a loophole some sellers use to dodge age penalties. The new rule change by ICE is expected to add further pressure to ICE-monitored coffee inventories, providing support for coffee prices.
Shrinking ICE coffee inventories are bullish for coffee prices as ICE-monitored arabica coffee inventories fell to a 24-year low of... Read more