Economics

Brazil's Currency Drop Is Good News for Coffee Bears

  • U.S. money managers are most bearish since late July
  • Losses for Colombia's peso are also encouraging shipments

Coffee beans are cooled after the roasting process.

Photographer: Cassi Alexandra/Bloomberg
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Coffee bears are reaping rewards from a sweeping plunge in emerging-market currencies.

Brazil and Colombia, the world’s largest suppliers of arabica coffee, have seen the value of their currencies decline because of stagnating growth and a collapse in oil prices. As exporters increase shipments to customers buying in dollars, prices for the commodity have tumbled to the lowest since January 2014.