Coffee Futures Market News and Commentary
September arabica coffee (KCU22) on Thursday closed down -2.75 (-1.26%), and Sep ICE Robusta coffee (RMU22) closed down -2 (-0.09%).
Coffee prices Thursday retreated, with arabica falling to a 1-week low. An easing of supply concerns weighed on coffee prices after ICE-monitored arabica coffee inventories increased for a third day Thursday. Weakness in the Brazilian real is also negative for coffee prices as the real (^USDBRL) Thursday fell -0.48%, just above Wednesday's 1-1/2 week low against the dollar. A weaker real encourages export selling from Brazil's coffee producers.
Coffee prices Thursday were also under pressure after Maxar Technologies said Brazil's coffee-growing areas face a "low risk" of frost when temperatures cool this weekend and next week.
Signs of abundant U.S. coffee supplies are bearish for prices after Monday's data from the Green Coffee Association showed U.S. July green coffee inventories rose +2.9% m/m and +2.5% y/y to a 1-3/4 year hi... Read more