Arabica Coffee Futures Hit Over 4-Month low

Arabica coffee futures eased to below $2.7 per pound, reaching their lowest level since June, amid expectations of greater global availability, particularly from top producer Brazil. The decline occured after ICE reported that 104,370 bags of Brazilian coffee were awaiting grading at ICE warehouses as of November 10, the most in 8 months. Coffee has been arriving rapidly from Brazil since mid-September, with ICE inventories of Brazilian coffee rising to a 14-month high of 103,457 bags on November 9. This is particularly relevant at a time when stocks remain at critically low levels. Meanwhile, crop prospects for the 2027/28 season remains favorable, which have eased fears of severe drought-related damage stemming from El Niño.