May arabica coffee (KCK26) today is up +11.80 (+3.84%), and May ICE robusta coffee (RMK26) is up +55 (+1.51%).
Coffee prices are sharply higher today, with arabica posting a 7-week high. Coffee farmers in Brazil are holding back supplies in hopes of higher prices, leading to tightness in the coffee cash market and pushing futures prices higher. Also, the closure of the Strait of Hormuz has disrupted global shipping and tightened global coffee supplies. The closure of the waterway has increased global shipping rates, insurance, and fuel costs, and raises costs for coffee importers and roasters.
