Coffee futures fell the most in two weeks on signs of abundant global supplies. Sugar and cocoa dropped, while orange juice and cotton advanced.
Output in Brazil, the world’s biggest coffee producer, may rise to a record 63 million bags next year from as much as 54 million this year, Judy Ganes-Chase, the president of J. Ganes Consulting, said today in an interview in Jakarta. Indonesia, the third-largest grower, will collect 10 percent more beans in 2013, an exporter group said.
“The feeling of too much coffee around” is pushing prices lower, Roberto Higgins, a director at Intercap Corretora, a broker in Sao Paulo, said in an e-mail. “Producers here will need to sell to make money for harvesting and make space for the new crop.”
Arabica-coffee futures for May delivery slumped 1.6 percent to settle at $1.3615 a pound at 2 p.m. on ICE Futures U.S. in New York, the biggest drop for a most-active contract since March 18. In the past 12 months, the price has tumbled 27 percent, the most among 24 raw materials in the Standard & Poor’s GSCI Spot Index.
Vietnam is the second-biggest producer. A bag weighs 60 kilograms, or 132 pounds.
Raw-sugar futures for May delivery fell 0.6 percent to 17.59 cents a pound on ICE. Earlier, the price touched 17.5 cents, the lowest since July 21, 2010.
Cocoa futures for May delivery dropped 0.6 percent to $2,171 a metric ton.
Cotton futures for May delivery advanced 1.7 percent to 88.87 cents a pound, the biggest gain since March 15.
This year, the commodity has jumped 18 percent. In the U.S., a decline in planting, signs of an economic recovery and rising oil prices, which boosts the cost to make synthetic fibers, have bolstered cotton, Jason Schenker, the president of Prestige Economics LLC in Austin, Texas, said in a report.
Orange-juice futures for May delivery jumped 4.2 percent to $1.3955 a pound, the largest increase since March 8. Earlier, the price reached $1.42, the highest since Dec. 20.