Coffee Futures Market News and Commentary
Dec arabica coffee (KCZ21) on Friday closed down -3.45 (-1.70%), and Nov ICE Robusta coffee (RMX21) closed up +18 (+0.85%).
Coffee prices on Friday were mixed, with arabica falling to a 1-1/2 week low and robusta climbing to a 2-1/2 week high. Arabica coffee was under pressure Friday from weakness in the Brazilian real against the dollar. The real (^USDBRL) on Friday dropped to a 6-1/4 month low against the dollar. A weaker real encourages export selling by Brazil's coffee producers.
Robusta coffee moved higher Friday on speculation that next week's Vietnamese trade data will show a decline in Vietnam Oct coffee exports.
Coffee trading in Brazil has recently stalled as surging freight rates and high coffee prices have prompted coffee roasters to postpone purchases. Also, coffee growers are holding out for higher prices amid surging labor and fertilizer costs.
Recent rain in Brazil has pressured arabica coffee prices. Somar Meteorologia on Monday reported... Read more