Overall demand in the U.S. and Europe total about one month’s worth of global demand, reports Maja Wallengren for Reuters. Furthermore, European stock of both robusta and arabica are at their lowest in 6 years. [ETF Chart of the Day: Coffee]
These fundamentals can help set the coffee ETN up for a rally as production is slow and demand is perking up in developed markets.
iPath Dow Jones-UBS Coffee Sub Index Total Return ETN
Tisha Guerrero contributed to this article.