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Rich Asplund

Lackluster Rain in Brazil Supports Arabica Coffee Prices

Ice Brazil United States USDA Vietnam Volcafe

July arabica coffee (KCN25) Tuesday closed up +0.70 (+0.19%), and July ICE robusta coffee (RMN25) closed down -94 (-1.96%).

Coffee prices on Tuesday settled mixed, with robusta falling sharply to a 7-week low.  Arabica coffee moved higher on Tuesday on concern that poor weather in Brazil will reduce crop yields.  Somar Meteorologia reported Monday that Brazil's biggest arabica coffee growing area of Minas Gerais, received 0.3 mm of rain in the week ended May 24, or 4% of the historical average.  

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