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Rich Asplund

Brazil Crop Concerns and Brazilian Real Strength Boosts Coffee Prices

Brazil Ice Somar Meteorologia USDA Conab Vietnam the USDA FAS Vietnam General Statistics Office Volcafe

May arabica coffee (KCK25) today is up +2.90 (+0.76%), and May ICE robusta coffee (RMK25) is up +19 (+0.35%).

Coffee prices today are moderately higher, supported by dry conditions in Brazil and strength in the Brazilian real. Somar Meteorologia reported Monday that Brazil's biggest arabica coffee growing area of Minas Gerais received 30.8 mm of rain in the week ended March 15, or 71% of the historical average. Also, the Brazilian real (^USDBRL) rallied to a 4-1/4 month high Monday against the dollar, discouraging export selling from Brazil's coffee producers.

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