
July arabica coffee (KCN25) Tuesday closed down -5.40 (-1.44%), and July ICE robusta coffee (RMN25) closed down -70 (-1.41%).
Coffee prices on Tuesday fell sharply on the outlook for higher coffee production. On Monday, the USDA's Foreign Agriculture Service (FAS) forecast that Brazil's 2025/26 coffee production will climb +0.5% y/y to 65 million bags and that Vietnam's 2025/26 coffee output will climb +6.9% y/y to 31 million bags. Brazil is the world's largest producer of arabica coffee, and Vietnam is the world's largest producer of robusta coffee.