Wall Street Breakfast Coffee prices are percolating
Sep 16, 2025
Coffee lovers beware! Prices are soaring due to drought in Brazil and supply issues, with a staggering 20.9% increase in retail costs. Meanwhile, August retail sales have surprised analysts by topping expectations. The podcast also dives into potential tie votes within the Federal Reserve, revealing ongoing monetary policy discussions. And don't miss the buzz about Meta’s innovative plans to unveil smart glasses in collaboration with Prada, sparking excitement in the tech world!
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Global Coffee Supply Strains Raise Prices
- Coffee futures for Arabica and Robusta hit multi-year highs driven by supply shocks and tariffs.
- U.S. retail coffee prices spiked as buyers face higher import costs and limited cheaper alternatives.
Multiple Producers Fuel Persistent Coffee Deficit
- Brazil's drought, poor Vietnam crops, and currency moves created persistent global supply deficits.
- Tariffs on Brazilian coffee and weather risks are pushing buyers to seek scarce alternatives like Colombia or Peru.
Prepare For Higher Coffee Costs
- Expect U.S. buyers to reduce new contracts with Brazil and explore other suppliers despite limited low-cost options.
- Prepare for higher consumer prices as import costs are likely passed on to shoppers.