Coffee Prices Rally As Coronavirus Lockdowns See Drinkers Caffeinate At Home


Coffee prices have rallied over the last month, as global lockdowns fueled panic buying by those stuck at home looking for a caffeine fix, but the outlook for the commodity is far from clear.

Benchmark New York arabica coffee futures for May delivery have gained 15% over the last month, to trade around $1.20 per pound Thursday.

A futures contract is an agreement to buy or sell an asset — in this case, coffee — for a set price at a particular point in the future. It indicates what people expect the future price of coffee to be.

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