On July 28th the September contract hit its all time low of 1.2025. Since then, September has wandered up to close today at 1.2580, up 100 points on the day. Although the price of coffee is still strongly influenced by the value of the Dollar and, even more, by the value of the Dollar and the Brazilian Real, sooner or later fundamentals must kick in.
I am attaching a Dow Jones article that suggests that the current harvest could be quite smaller than expected. This article is the first that I have heard about a small crop in Brazil. And then again it could be just someone who is long and wants to get out at a higher price. And on the other hand there are a whole lot of people who are short and need to get out if this crop report is correct. Hold on to your hat, we could have another ride upwards.