Robusta Coffee 10-T Jan '27 (RMF27)
Robusta Coffee 10-T Futures Market News and Commentary
September arabica coffee (KCU26) today is down -13.60 (-4.16%), and September ICE robusta coffee (RMU26) is down -116 (-2.97%).
Coffee prices are moving sharply lower today, with arabica sliding to a 1-week low. Strength in Brazil’s coffee exports is weighing on prices today after Cecafe reported that Brazil’s Jun green coffee exports jumped +14.4% y/y to 2.64 million bags.
Since posting 5.5-month highs last week, coffee prices have whipsawed in a wide range below those highs amid illiquid trading conditions, leading to volatile price moves. Price volatility in coffee markets is exacerbated by illiquid trading conditions. After Intercontinental Exchange (ICE) raised margin requirements for coffee futures trading twice last week, liquidity has dried up, prompting many commodity funds to close their positions and leading to excessive one-way price moves.
An excessively long position in ICE robusta coffee by funds can exacerbate any price downturn. Last Friday’s... Read more
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