Coffee Futures Market News and Commentary
Dec arabica coffee (KCZ21) on Friday closed down -5.85 (-2.80%), and Nov ICE Robusta coffee (RMX21) closed down -25 (-1.17%).
Coffee prices retreated Friday on the outlook for rain in Brazil. Weather forecasts show solid chances for rain over the next five days in Brazil's coffee-growing regions, which should boost soil moisture levels and alleviate dry conditions.
Wetter-than-normal conditions in Brazil are bearish for coffee prices after Somar Meteorologia Monday reported that Minas Gerais, a region that accounts for about 30% of Brazil's arabica coffee crop, received 79 mm of rain or 393% of the historical average last week. The all-important flowering period for Brazilian coffee trees begins this month, and abundant rain may boost coffee tree flowering and increase coffee yields. Water availability in the soil in Minas Gerais was at critical levels between 0% and 30%, which is well below the minimum level for crop development of 60%.
Arabica coffee on Tues... Read more