NASHVILLE, Tenn. (RFD News) — Persistent rain in Brazil is delaying the country’s coffee harvest, with traders closely watching the world’s largest coffee producer.
Barchart Senior Analyst Darin Newsom said the wet weather has slowed harvest progress and is raising questions about whether similar conditions could affect other Brazilian commodities later this year.
“It has been trending up for the last number of weeks, and it is harvest season. Right now there’s too much rain, in the in the coffee growing areas of Brazil. Brazil’s the world’s leading producer and exporter of coffee. It’s in harvest has been delayed and hampered by rain. Same thing with sugar. Is this a precursor to what we could expect with another important market for Brazil being soybeans? We’re still a ways away from it right now. The focus is on coffee, and it just doesn’t look like it’s coming down anytime soon.”
Analysts say the pace of Brazil’s harvest will remain a key market driver as traders watch for signs of improving weather or additional production delays.
