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Barchart
Barchart
Rich Asplund

FORGOTTEN HISTORY: Coffee prices jump on excessive dryness in brazil - Caught on Camera

Ice Brazil NOV USDA Vietnam Cecafe ICO International Coffee Organization

December arabica coffee (KCZ24) Monday closed up +10.00 (+3.97%), and November ICE robusta coffee (RMX24) closed up +141 (+2.92%).

Coffee prices on Monday rallied sharply, with arabica coffee posting a 1-1/2 week high and robusta posting a 1-week high.   Excessive dryness in Brazil may curb coffee yields, and it supports prices.  Rainfall in Brazil has consistently been below average since April, damaging coffee trees during the all-important flowering stage and reducing the prospects for Brazil's 2025/26 arabica coffee crop.  Somar Meteorologia reported Monday that Brazil's Minas Gerais region received 33.4 mm of rain over the past week, or 99% of the historical average.  Minas Gerais accounts for about 30% of Brazil's arabica crop.

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