Arabica coffee futures on ICE were trading around $2.3, down from a three-week high of $2.4 touched on June 22, amid a bearish macroeconomic environment and as the outlook for global coffee production improved. The USDA in its bi-annual report projected 2022/23 global coffee production to climb +4.7% y/y to 174.95 mln bags, primarily due to Brazil's arabica crop entering the on-year of the biennial production cycle. Still, concerns that excessive dryness in top producer Brazil may lead to lower coffee yields might limit the downside in coffee prices. Meanwhile, ICE-certified stocks fell again to 854,000 bags, their lowest since November of 1999.
Historically, Coffee reached an all time high of 339.86 in April of 1977. Coffee - data, forecasts, historical chart - was last updated on July of 2022.
Coffee is expected to trade at 235.49 USd/Lbs by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 257.92 in 12 months time.