Coffee Jul '26 (KCN26)
Coffee Futures Market News and Commentary
July arabica coffee (KCN26) on Monday closed down -0.90 (-0.31%), and July ICE robusta coffee (RMN26) did not trade as UK markets were closed for the May Day holiday.
Arabica coffee gave up an early advance on Monday and settled lower, weighed down by a stronger dollar. Â Prices initially moved higher on Monday, supported by concerns about the escalation of the US-Iran war, which could keep the Strait of Hormuz closed and disrupt global coffee supplies. Â The closure of the strait has tightened coffee supplies by increasing global shipping rates, insurance, fertilizer, and fuel costs, and raising costs for coffee importers and roasters. Â
Expectations of a larger Brazilian coffee crop are negative for prices. Â Last Thursday, the Coffee Trading Academy projected Brazil's 2026/27 coffee harvest will increase by 12% y/y to 71.4 million bags. Â On March 19, Marex Group Plc projected a record 2026/27 Brazilian coffee crop of 75.9 million bags, surpassing Sucafina's forecast of... Read more
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