Coffee Futures Market News and Commentary
July arabica coffee (KCN22) on Thursday closed up +1.10 (+0.51%), and July ICE Robusta coffee (RMN22) closed up +17 (+0.82%).
Coffee prices Thursday recovered from early losses and moved higher on strength in the Brazilian real. The real (^USDBRL) Thursday climbed to a 2-1/2 week high against the dollar, which discourages export selling from Brazil's coffee producers.
Coffee prices Thursday initially moved lower after Conab raised its estimate for Brazil's 2022 coffee crop to 53.4 mln bags from a previous estimate of 47.7 mln bags.
Coffee was already on the defensive from reduced frost risks in Brazil after Climatempo on Wednesday said that winds and clouds in Minas Gerais, Brazil's largest arabica-growing region, prevented a severe drop in temperatures that removed the threat of frost from developing.
An increase in U.S. coffee supplies is bearish for prices after the Green Coffee Association reported Monday that U.S. Apr green coffee inventories rose +1.... Read more