On Monday, July arabica coffee (KCN25) closed up 3.50 cents (+0.98%), and July ICE robusta coffee (RMN25) rose by 82 cents (+1.85%). The increase in coffee prices followed a rise in the Brazilian real, which hit an 8-month high against the dollar, limiting export sales from Brazilian coffee producers.
Somar Meteorologia reported that Brazil’s Minas Gerais region received 23.4 mm of rain for the week ending June 7, which is 207% of the historical average for that time. The 2025/26 coffee harvest in Brazil was reported at 28% completion as of June 4, slightly above the five-year average of 27%. The USDA forecasts a 0.5% year-over-year increase in Brazil’s coffee production to 65 million bags.
Despite these factors, coffee prices have been under pressure, with Arabica falling to a 2-month low and Robusta to a 7.25-month low due to rising production forecasts and ample supplies. Meanwhile, Brazil’s coffee exports for April fell 28% year-over-year to 3.05 million bags.
