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Panic Hits Coffee Market as Futures Soar Over Brazil Weather Concerns

by Jessica

Coffee futures in New York soared more than 6% on Monday, reaching a new all-time high above $4.30 per pound on the ICE exchange. Market experts point to growing panic over limited coffee supply as a key factor driving the price surge.

Arabica coffee futures hit a new record for the 13th consecutive trading session, with reports of a dry, hot weather system developing over Brazil’s coffee-growing regions. This weather pattern is raising concerns among traders, as Brazilian farmers, who are the world’s largest coffee producers, are hesitant to sell their beans.

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“Finally, panic has set in, and prices will keep rising,” said Bob Fish, co-founder of Biggby Coffee, a coffee franchise with 350 locations across the U.S.

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Fish added that only two factors could reverse the current trend: a strong coffee yield from Brazil and Vietnam (which isn’t expected until August 2026) or a significant reduction in demand from consuming countries due to the rising prices.

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