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Rich Asplund

Coffee Prices Supported by Below-Normal Rain in Brazil

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

May arabica coffee (KCK25) Tuesday closed up +11.75 (+3.04%), and May ICE robusta coffee (RMK25) closed up +159 (+2.90%).

Coffee prices Tuesday added to Monday's gains, with arabica posting a 1-1/2 week high and robusta posting a 1-week high.   Below-normal rain in Brazil may reduce coffee crop yields and is supporting prices.  Somar Meteorologia reported last Monday that Brazil's biggest arabica coffee growing area of Minas Gerais received 11.4 mm the week ended February 22, or 24% of the historical average.  This past Monday's rain report was delayed by the Brazilian Carnival holiday.  Brazil is the world's biggest arabica coffee growing country.

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