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Coffee Market Records Declines with Rains in Brazil and Harvest Progress

  • Writer: Julhyana Veloso Nunes
    Julhyana Veloso Nunes
  • Jul 16, 2024
  • 1 min read


The coffee market recorded significant declines on the New York and London exchanges this Monday (11), influenced by various climatic and harvest factors. Rains in Brazil and the progress of the harvest, as reported by Safras & Mercado, were cited as the main reasons for the price devaluation. Additionally, concerns about excessive drought in Vietnam, which could affect the global production of robusta coffee, are supporting robusta prices, although not enough to counterbalance the declines.


In New York, arabica coffee futures for September/24 fell 660 points, closing at 242.15 cents/lbp, while December/24, March/24, and May/25 contracts also registered significant drops. In London, the situation was similar, with the September/24 contract falling by $34 per ton, and the November/24, January/25, and March/25 contracts also showing substantial depreciations. These movements reflect a combination of supply and demand factors, as well as technical price adjustments.


The advanced harvest in Brazil further pressured prices, with Safras & Mercado reporting that 66% of the 2024/25 crop had been harvested by July 9, surpassing both the previous year and the five-year average. Additionally, the increase in robusta and arabica coffee stocks monitored by ICE contributed to the bearish sentiment in the market. Robusta stocks reached a one-year high, while arabica stocks rose to a 16-month high, both reflecting a more abundant supply that pressures prices downward.


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