From mint · · 1m
Arabica Coffee Hits One-Month High
Arabica coffee prices surge to one-month high as stocks remain critically low.
In brief
Arabica coffee prices surge to one-month high as stocks remain critically low. Arabica coffee futures hit a one-month high due to critically low exchange stocks and El Nino concerns. Originally reported by mint.
Arabica Coffee Rallies
Arabica coffee futures on ICE rallied to a one-month high on Friday as market participants grew nervous that critically low exchange stocks will not be replenished as soon as previously expected.
Stocks Critically Low
ICE-certified stocks were last at 238,976 bags, not far off last month's 27-year-low of 217,646 bags.
Brazilian Supply Concerns
Market participants are growing nervous that supplies from top grower Brazil will not arrive at ICE warehouses ahead of the December contract expiry, leaving stocks critically low, dealers said.
El Nino Impact
Coffee is also being boosted by concerns that the El Nino weather event will curb top grower Brazil's output next year, and by the recent strength of Brazil's real currency.
The headline
Arabica coffee futures hit a one-month high due to critically low exchange stocks and El Nino concerns.
