Archived link: http://archive.today/VtmD8

I remember hearing "speculation creates liquidity and makes the market more efficient" ... yeah right. I don't mind refuting nonsense every now and then, but don't touch my coffee!

I think those who surf the web and really like their coffee knew last year wholesale prices for coffee were on the way up. [1] [2] Speculation was something that was bound to happen.

The futures market is supposed to offer product stability / availability but from what I've seen of it, more often it leads to the demise of farmers if they are on contract to a large trading body or conglomerate which likely can still profit at far lower margins.

[1] https://www.gcrmag.com/reality-hit-brazils-coffee-industry-s... (31st Oct 2024)

[2] https://coffeetalk.com/daily-dose/top-news/09-2024/104672/ (Coffee Prices on the Boil as Natural Disasters Decimate Crops - 23rd Sept 2024)