Arabica coffee futures trade in the U.S. on the Intercontinental Exchange in the soft commodity sector of the raw materials asset class. Brazil is the world’s top producer and exporter of Arabica beans. Robusta coffee futures trade in Europe on the Intercontinental Exchange. Arabica beans have a smoother, sweeter taste, with hints of chocolate, sugar, and fruits or berries. Robusta beans are stronger and harsher, with more of a bitter taste. Robusta coffee has around twice the level of caffeine as the Arabica variety. Italian expressos use Robusta beans, while Starbucks, Dunkin Donuts, and most other coffees are Arabica. After rising to the highest prices in over a decade in late 2021 and early 2022, Robusta and Arabica futures prices have corrected. Arabica correction In my Q4 report on soft commodities on Barchart , I highlighted that a 24.49% price decline in Q4 pushed Arabica futures 26.01% lower in 2022. Coffee was the worst-performing soft commodity last year. The chart highlights the decline from $2.6045 per pound in February 2022, an eleven-year high, to $1.4205 in January 2023. At just below the $1.62 level on January 25, coffee futures are sitting closer to the low than last year’s peak. […]
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
