“We have to expect to see a lot of volatility [in coffee prices]in the next week or so” until more is known about the crop damage, Hernando de la Roche, senior vice president at financial-services firm INTL FCStone, said in the article.
Additionally, prices in sugar, another one of Brazil’s large agricultural crops, is experiencing gains. The iPath Dow Jones-AIG Sugar Total Return Sub-Index ETN (NYSEArca: SGG) was up 1.2% Wednesday and rose 5.7% over the past week. [Brazil Drought Sweetens Sugar ETNs]
iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN
For more information on coffee, visit our coffee category.
Max Chen contributed to this article.