Why coffee's the hottest commodity in townOwen Thomas
Coffee is the best performing commodity so far this January. Reduced planting because of previous low prices is one of the main factors affecting the rise, as well as an outbreak of Roya disease in Central America. There have been some signs of a slow down in the price rise but the upward trend continues, according to Saxo Bank's Head of Commodity Strategy, Ole Hansen.
The extreme winter weather across much of the US, even affecting Southern states, has affected the global price of beef. Low temperatures are causing lower herd numbers and weights. The spot price is trading above the April futures price which will lift the futures market.
Sweeteners from the Indian government to encourage sugar exporters will see 4 million tonnes being sold overseas during the next two years.Oversupply expected to keep prices low.
Ample supply in the wheat markets with prices at a three and half year low. A recent US Government report raised global inventories further.