Robusta Coffee 10-T May '23 (RMK23)
Robusta Coffee 10-T Futures Market News and Commentary
May arabica coffee (KCK26) on Wednesday closed up +1.60 (+0.53%), and May ICE robusta coffee (RMK26) closed up +70 (+2.02%).
Coffee prices settled higher on Wednesday, with robusta posting a 1.5-week high. Â Coffee prices rose on Wednesday amid signs of smaller supplies from Brazil. Â On Tuesday, Cecafe reported that Brazil Mar green coffee exports fell -10% y/y to 2.65 million bags. Â Last Wednesday, Brazil's Trade Ministry reported that Brazil's Mar coffee exports fell -31% y/y to 151,000 MT. Â
Robusta coffee also rose on Wednesday on tightness in current supplies as ICE robusta inventories fell to a 1.25-year low of 3,891 lots.
Below-average rainfall in Brazil may curb coffee yields and is bullish for prices after Somar Meteorologia reported on Monday that Brazil's largest arabica coffee-growing area, Minas Gerais, received 4.2 mm of rain last week, or only 20% of the historical average.
Last Wednesday, arabica fell to a 4-week low amid expectations of a reco... Read more
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