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Barchart
Barchart
Rich Asplund

Coffee Prices Settle Higher on Dry Conditions in Brazil

Ice Brazil Vietnam El Nino ICO the US Climate Prediction Center USDA FAS

Dec arabica coffee (KCZ23) on Tuesday closed up +2.05 (+1.38%), and Nov ICE robusta coffee (RMX23) closed up +13 (+0.53%).

Coffee prices Tuesday closed moderately higher on concerns that excessive dryness in Brazil will hamper the country's coffee production.  Updated weather forecasts removed rain for Brazil this week.  Somar Meteorologia reported Monday that Brazil's Minas Gerais region received only 0.9 mm of rain in the past week, or 5% of the historical average.  Minas Gerais accounts for about 30% of Brazil's arabica crop.

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