logo
Sign in or Register

Already a member?

Sign in

Or sign in with your account on:

Not a member yet?

Register
    

 


Coffee Prices Continue Decline

By  +Follow September 17, 2013 10:04AM
Share:
Tickers Mentioned:

The price of coffee continued its two-year slump today, with iPath Pure Beta Coffee ETN (CAFE) off almost 4 percent and iPath DJ-UBS Coffee Subindex Total Return SM Index ETN ($JO) down over 3.5 percent. The down day for coffee is part of a clear trend, with both ETFs having lost about 40 percent of their value over the last 12 months and about 70 percent from since April of 2011 when coffee prices peaked at $3 a pound, a 34-year high.

Some of this decline may be due to the continued rise in the use of the cheaper, easier-to-produce Robusta beans instead of the pricier, higher-quality Arabica beans across global markets. This year also saw large yields from Brazil, the world’s leading Arabica producer, who had a record year that helped to push prices to record lows. 

"[There] is a lot of supply out there," said Mark Smucker, president of US retail coffee operations for The J.M. Smucker Company (SJM) , the company behind Folgers Coffee, in August. "And the forecast for the next crop is also large. So that is what I think is driving the arabica market from a fundamentals perspective."

Further decline in production in Vietnam

While Vietnam’s emergence as a major coffee producer has been a major driver of falling prices, recent news would indicate that this year’s crop has declined off of last year’s levels according to the country’s customs department. Vietnam, the world’s top producer of Robusta beans, reported that production in August was 83,700 tonnes (1.39 million), down 18.5 percent year over year. It also puts the country’s January-August production at 968,400 tonnes, a 23.7 percent decline.

Kenya bucks the trend

While global prices continue to fall, news out of Kenya today showed the price of their coffee is on the rise. Kenya remains a small grower, but their high-quality beans are highly prized for their quality and often blended with beans from other countries by roasters. Reports from the Nairobi Coffee Exchange (NCE) on Tuesday had the top price for benchmark AA coffee grade up to $372 for a 50-kg bag, up from $324 just last week.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer


Signup for our daily newsletter and get our best articles emailed right to you!

Results for CAFE
Stock Rocket
31 Mar 15 21:15:35
Platinum Members Saw Penny Stock Picks Gain Over 1400% In 4 Months! Go Platinum: http://t.co/PsSamxBW6M $CAFE $GSG $RJI
Stockaholics
31 Mar 15 16:10:38
Our Penny Stock Alerts Gained Over 1400% In Just Over 4 Months! Subscribe today: http://t.co/w9IKB0aLmu $CAFE $GSG $RJI
Penny Stockington
31 Mar 15 12:26:45
Our Penny Stock Pick On $THCZ Is Up Over 400% So Far! Big News: http://t.co/SlU3u7rKnL $CAFE $GSG $RJI
Stock Rocket
31 Mar 15 12:22:55
Platinum Members Saw Penny Stock Picks Gain Over 1400% In 4 Months! Go Platinum: http://t.co/PsSamxBW6M $CAFE $GSG $RJI
StockenheimerSchmidt
31 Mar 15 11:45:28
$PPCH Gained As Much As 1005% Within 3 Days! Market News: http://t.co/oGWehWr8rK $CAFE $GSG $RJI
Penny Stock Secret
31 Mar 15 11:18:53
This Guy Turned $100 Into Over $10,000 In Just 30 Days!!! http://t.co/NovWYeksZ7 .. $CAFE $GSG $RJI
Stock Dawgzz
31 Mar 15 11:03:34
Our Penny Stock Picks On $THCZ & $RCGP Gained A Combined 700% so far! Blog Update: http://t.co/g3eVEb0uXG $CAFE $GSG $RJI
Penny Stockington
31 Mar 15 01:52:37
Our Penny Stock Pick On $THCZ Is Up Over 400% So Far! Big News: http://t.co/SlU3u7rKnL $CAFE $GSG $RJI
StockenheimerSchmidt
31 Mar 15 01:26:54
$PPCH Gained As Much As 1005% Within 3 Days! Market News: http://t.co/oGWehWIJji $CAFE $GSG $RJI
Stockaholics
30 Mar 15 20:24:51
Our Penny Stock Alerts Gained Over 1400% In Just Over 4 Months! Subscribe today: http://t.co/w9IKB0aLmu $CAFE $GSG $RJI
Stock Rocket
30 Mar 15 19:52:16
Platinum Members Saw Penny Stock Picks Gain Over 1400% In 4 Months! Go Platinum: http://t.co/PsSamxBW6M $CAFE $GSG $RJI
Stock Dawgzz
30 Mar 15 19:03:27
Our Penny Stock Picks On $THCZ & $RCGP Gained A Combined 700% so far! Blog Update: http://t.co/g3eVEaITz6 $CAFE $GSG $RJI
ETF Trends
30 Mar 15 17:20:09
Weak Real Helps Brazilian Exports But Weighs on Coffee ETNs http://t.co/9uDPMGTLuV #commodities #brazil #BRL $JO $CAFE $BZF
Tom Lydon
30 Mar 15 17:15:15
Weak Real Helps Brazilian Exports But Weighs on Coffee ETNs http://t.co/5CiVZNNcoS #commodities #brazil #BRL $JO $CAFE $BZF
stockschamp
30 Mar 15 12:44:06
$71,000 in ONE TRADE!! By Follwing Their Signals More Info Here http://t.co/8WvnrVmkBS .. $CAFE $GSG $RJI
StockenheimerSchmidt
30 Mar 15 12:09:46
$RCGP tripled in value within 2 days as of yesterdays high! high! Big News: http://t.co/RWkbY02YnU $CAFE $GSG $RJI
Stock Dawgzz
30 Mar 15 11:30:54
Our Penny Stock Alerts Have Gained Over 1600% In THe Past 4 Months! Subscribe Today: http://t.co/nsMnuzW59n $CAFE $GSG $RJI
Stock Rocket
30 Mar 15 10:26:02
Our Penny Stock Newsletter Picks Gained Over 1485%! Huge Update: http://t.co/cDuleLERch $CAFE $GSG $RJI
Thing Liker
30 Mar 15 03:24:15
RT @GilmanAMD: $COFFEE ends bearish chart pattern & signals bullish on weekly chart. Consolidation & break higher pending. $JO $CAFE http:/…
OPX5000
30 Mar 15 03:10:41
RT @GilmanAMD: $COFFEE ends bearish chart pattern & signals bullish on weekly chart. Consolidation & break higher pending. $JO $CAFE http:/…
Clayton Gilman
30 Mar 15 03:07:42
$COFFEE ends bearish chart pattern & signals bullish on weekly chart. Consolidation & break higher pending. $JO $CAFE http://t.co/pbjfV3UPuM
Stockaholics
30 Mar 15 00:57:26
Our Stock Tips Have Gained Over 230% Within 2 Days! Huge News: http://t.co/FW1zCk5dfw $CAFE $GSG $RJI
Penny Stockington
30 Mar 15 00:55:58
Our Penny Stock Pick On $RCGP Gained As Much As 236% In 2 Days! Get Our Next Pick Early: http://t.co/22aEoRaezM $CAFE $GSG $RJI
Stockaholics
29 Mar 15 17:41:41
Our Stock Tips Have Gained Over 230% Within 2 Days! Huge News: http://t.co/FW1zCk5dfw $CAFE $GSG $RJI
Penny Stockington
29 Mar 15 17:32:08
Our Penny Stock Pick On $RCGP Gained As Much As 236% In 2 Days! Get Our Next Pick Early: http://t.co/22aEoRaezM $CAFE $GSG $RJI
Stock Rocket
29 Mar 15 17:06:39
Our Penny Stock Newsletter Picks Gained Over 1485%! Huge Update: http://t.co/cDuleLERch $CAFE $GSG $RJI
StockenheimerSchmidt
29 Mar 15 15:01:10
$RCGP tripled in value within 2 days as of yesterdays high! high! Big News: http://t.co/RWkbY02YnU $CAFE $GSG $RJI
Stock Dawgzz
29 Mar 15 14:55:05
Our Penny Stock Alerts Have Gained Over 1600% In THe Past 4 Months! Subscribe Today: http://t.co/nsMnuzW59n $CAFE $GSG $RJI
Stock Dawgzz
28 Mar 15 12:23:44
Our Penny Stock Alerts Have Gained Over 1600% In THe Past 4 Months! Subscribe Today: http://t.co/nsMnuzEuhP $CAFE $GSG $RJI
Penny Stockington
28 Mar 15 11:37:00
Our Penny Stock Pick On $RCGP Gained As Much As 236% In 2 Days! Get Our Next Pick Early: http://t.co/22aEoRrPYm $CAFE $GSG $RJI
Stockaholics
28 Mar 15 11:12:43
Our Stock Tips Have Gained Over 230% Within 2 Days! Huge News: http://t.co/FW1zCkmOE6 $CAFE $GSG $RJI
Stock Rocket
28 Mar 15 11:07:43
Our Penny Stock Newsletter Picks Gained Over 1485%! Huge Update: http://t.co/cDuleLngkJ $CAFE $GSG $RJI
StockenheimerSchmidt
28 Mar 15 10:46:44
$RCGP tripled in value within 2 days as of yesterdays high! high! Big News: http://t.co/RWkbXZLnwm $CAFE $GSG $RJI
Penny Stock Secret
28 Mar 15 10:18:05
This Service Made 20,000% Gains In the Last Month! Subscribe Here http://t.co/NovWYe2RAx .. $CAFE $GSG $RJI
fahrul Rosi
28 Mar 15 06:54:16
ngopi $cafe au late (with dimas at Bebek Teroris) — https://t.co/ZlMY7SALNO
StockenheimerSchmidt
28 Mar 15 01:51:17
$RCGP tripled in value within 2 days as of yesterdays high! high! Big News: http://t.co/RWkbY02YnU $CAFE $GSG $RJI
Penny Stockington
28 Mar 15 01:41:47
Our Penny Stock Pick On $RCGP Gained As Much As 236% In 2 Days! Get Our Next Pick Early: http://t.co/22aEoRaezM $CAFE $GSG $RJI
Stockaholics
28 Mar 15 01:22:26
Our Stock Tips Have Gained Over 230% In Less Than 24 Hours! Huge News: http://t.co/FW1zCk5dfw $CAFE $GSG $RJI
Stock Dawgzz
28 Mar 15 01:15:52
Our Penny Stock Alerts Have Gained Over 1600% In THe Past 4 Months! Subscribe Today: http://t.co/nsMnuzW59n $CAFE $GSG $RJI
StockenheimerSchmidt
27 Mar 15 11:17:26
$RCGP Has More Than Tripled In Value In The Past 2 Days! Big News: http://t.co/RWkbXZLnwm $CAFE $GSG $RJI
Penny Stockington
27 Mar 15 02:34:06
Our Penny Stock Alerts Have Gained Over 1000% So Far This Year! Big News: http://t.co/Mq9GADvqO5 $CAFE $GSG $RJI
Stockaholics
27 Mar 15 01:01:31
Our Winning Stock Tips Gained Over 680% In The Past 2 Months! Subscribe Today: http://t.co/lLjJU4COQW $CAFE $GSG $RJI
StockenheimerSchmidt
27 Mar 15 00:55:56
Our Penny Stock Pick On $THCZ Is Up 321.54% In Less Than 6 Weeks! This is Huge: http://t.co/WroUGtaeZF $CAFE $GSG $RJI
Stock Rocket
27 Mar 15 00:53:35
$THCZ Has Become One Of The Hottest Penny Stocks Of The Year So Far! Check It Out: http://t.co/3wv3AMJ7Ni $CAFE $GSG $RJI
Penny Stockington
26 Mar 15 17:08:58
Our Penny Stock Pick On $THCZ Is Up 321.54% In Less Than 6 Weeks! Big News: http://t.co/PqlF5t9PRj $CAFE $GSG $RJI
StockenheimerSchmidt
26 Mar 15 16:07:28
Our Penny Stock Picks Have Gained Over 1485% In The Past 4 Months! MASSIVE Update: http://t.co/Cu9lMFFRwA $CAFE $GSG $RJI
Stockaholics
26 Mar 15 14:33:30
Our Penny Stock Alerts Gained 600% In 2 Months! Get Our Next Picks Early: http://t.co/tEvkQFqi7N $CAFE $GSG $RJI
Stock Dawgzz
26 Mar 15 12:21:05
Our Penny Stock Newsletter Alert On $RCGP Gained 57% Mid-Day Today! Blog Update: http://t.co/Dk7CzkVjdH $CAFE $GSG $RJI
Stock Rocket
26 Mar 15 11:29:23
$THCZ Has Become One Of The Hottest Penny Stocks Of The Year So Far! Check It Out: http://t.co/3wv3AMJ7Ni $CAFE $GSG $RJI
Penny Stock Secret
26 Mar 15 10:20:29
Gains Over 2500% In one Trade.. Subscribe Here! http://t.co/NovWYe2RAx .. $CAFE $GSG $RJI
				
				
By  +Follow September 17, 2013 10:04AM
Share:

Comments

 

blog comments powered by Disqus

About us

Equities.com is the most advanced interactive online social ecosystem for the financial industry, serving as a resource center and next-generation communication platform that connects self-directed investors with public issuers, market experts, and professional service providers and vendors. Registered members can leverage our exclusive proprietary research tools such as the Small-Cap Stars, which outperformed 90% of all small-cap mutual funds, and robust do-it-yourself E.V.A. research reports. The Equities.com Issuer Dashboard is the ideal tool to communicate and manage investor awareness campaigns to the investment community, as well as to access valuable resources to help your company grow.

Market Data powered by QuoteMedia.
Copyright © QuoteMedia. Data delayed 15 minutes unless otherwise indicated. Terms of Use.