⛈ Hurricane sends Coffee above 💲120

Coffee prices are rallying hard this week with the Hurricane Iota being the main driver of price gains as it’s about to hit Central America and can damage coffee farms. This region is important for Coffee production mostly due to Colombia – the third largest producer in the World.

The impact of such events on prices is always hard to gauge as range of outcomes is very wide. The Hurricane Iota has just been downgraded to tropical storm so it may not have such a devastating impact after all and traders should bear that in mind. Looking just at the chart, Coffee is clearly in the upper zone of the longer-term 95-130 consolidation range.

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