Coffee Prices Rally As Coronavirus Lockdowns See Drinkers Caffeinate At Home

From: cnbc.com

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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