Coffee slides 2% falling from local highs 📌

18:33 2 September 2025

Arabica coffee (COFFEE) futures on ICE are down more than 2%, resuming downward momentum after prices briefly climbed above the 380 level. On one hand, global coffee inventories remain relatively low, and recent adverse weather in Brazil (heavy rains and frosts) suggests that seasonal harvests may be weaker. However, today we are seeing profit-taking after sharp gains.

Weather forecasts for Brazil’s Minas Gerais region remain subject to significant revisions, adding to market volatility. At the same time, high 50% tariffs on Brazilian coffee imports into the U.S. continue to shape market structure. Should there be any major changes to the U.S.–Brazil trade agreement in the future — either through reduced tariffs or their complete removal — a substantial downside potential for prices cannot be ruled out.

Source: xStation5

This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.

Back

Join over 1.7 Million investors from around the world