“The catalyst for this turnaround was Mother Nature and her wrath towards the Coffee growing regions of Brazil. Drought conditions plagued the developing Coffee crop this season, causing irreversible damage early in the development stage. Analysts are now lowering their estimates for the size of the Brazilian crop from 60 million bags earlier in the season to as low as 45 million bags in the more pessimistic outlooks,” according to OptionsExpress.

Interestingly, many investors have missed out on JO’s surge. As of April 16, nearly $97 million had been pulled from the ETN this year and JO lost assets despite surging in February. [Despite Rally, Investors Ditch Coffee ETNs]

iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN

ETF Trends editorial team contributed to this post.