Arabica Coffee Futures Lower
Arabica coffee futures eased toward $3.2 per pound, down from a recent one-month peak above $3.4 per pound, mainly due to profit-booking. Funds and investors took advantage of the recent advance to liquidate some of their long positions. Reports that some Brazilian warehouses are nearing capacity also pressured prices, as reduced storage space could force farmers to sell more beans. Nevertheless, the market continued to be supported by fundamentals considered positive, especially tight short-term availability and historically low certified stocks. In top producer Brazil, the harvest has gathered pace amid drier weather, though erratic conditions continue to raise concerns over next year’s crop. Fears of a strong El Niño also persisted, as the weather pattern could delay rainfall during the September-October flowering period.
Arabica coffee futures eased toward $3.2 per pound, down from a recent one-month peak above $3.4 per pound, mainly due to profit-booking.
Funds and investors took advantage of the recent advance to liquidate some of their long positions.
Reports that some Brazilian warehouses are nearing capacity also pressured prices, as reduced storage space could force farmers to sell more beans.
Nevertheless, the market continued to be supported by fundamentals considered positive, especially tight short-term availability and historically low certified stocks.
In top producer Brazil, the harvest has gathered pace amid drier weather, though erratic conditions continue to raise concerns over next year’s crop.
Fears of a strong El Niño also persisted, as the weather pattern could delay rainfall during the September-October flowering period.