Arabica coffee futures rise as adverse weather in Brazil sparks supply concerns.
Due to concerns in the market about unfavorable weather conditions in the main coffee-producing region of Brazil potentially affecting next year's crops, Arabica coffee futures prices have been rising. Following severe hailstorms in the Minas Gerais region last Friday, the market is closely watching to see if the coffee crops have been damaged, said Harry Howard of Sucden Financial Ltd in a report on Monday. He mentioned that the storm may cause concerns about the complete loss of leaves on the crops, which could impact next year's harvest outlook. Meanwhile, the threat of the United States imposing a 50% tariff on Brazil has also added to the market's uncertainty.
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