Commodity Market Trends

When we're looking at the commodity markets globally to help with our buying strategies, we study colonial goods, specifically Certified Arabica stocks which are still high.

BRAZIL: Leading producer and exporter of arabica. Certified arabica stocks increased for the third consecutive month in December, reaching the highest level since June (in contrast, robusta stocks were down). Possible declines will be mainly due to expectations of improved supply.

COLOMBIA: Second largest arabica producer. A persistent slowdown in Colombian supply with a 17% drop in production compared to the same period last year.

VIETNAM: Robusta supply improved and exports were 16% higher than in the same period last year.

Potential bullish factors are risks related to Brazilian crop developments and the macroeconomic environment, in a persistently limited stock scenario.