Bloomberg notes professional money managers have been bearish on coffee futures for 18 consecutive weeks.
Since coffee beans are priced in U.S. dollars, Brazilian farmers are selling more abroad to capitalize off the strong U.S. dollar and weak real currency. Brazil is the largest exporter of coffee beans. According to the International Coffee Organization, world exports were at a record 111.7 million bags last year, with Brazilian shipments rising 15% to 36.3 million. [Bad News for Brazil ETFs]
iPath Dow Jones-UBS Coffee Total Return Sub-Index ETN
