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Barchart
Barchart
Rich Asplund

Supply Concerns Push Coffee Prices Sharply Higher

Ice United States Brazil arabica Cecafe Vietnam Conab FAs

December arabica coffee (KCZ25) is up +17.45 (+4.40%) today, and November ICE robusta coffee (RMX25) is up +193 (+4.19%).

Coffee prices are surging today, with Dec arabica posting a contract high and nearest-futures (U25) arabica posting a 4.5-month high.  Also, robusta posted a 2-week high.  The lack of rain in Brazil's coffee-growing regions ahead of the critical flowering period for coffee trees is pushing coffee prices sharply higher.  Somar Meteorologia reported today that Brazil's largest arabica coffee-growing area, Minas Gerais, received no rain during the week ended September 13.  

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