December arabica coffee (KCZ24) Monday closed up +9.40 (+3.98%), and November ICE robusta coffee (RMX24) closed up +121 (+2.54%).
Coffee prices rallied sharply on Monday due to adverse global weather events that may curb coffee production. Dry conditions in Brazil, the world's largest producer of arabica coffee, are bullish for prices after Somar Meteorologia reported Monday that Brazil's Minas Gerais region received no rain over the past week. Minas Gerais accounts for about 30% of Brazil's arabica crop. Robusta coffee prices jumped Monday after typhoon Yagi struck Vietnam, which could damage the country's coffee fields.
