|Day's Range||90.60 - 95.45|
(Bloomberg) -- A gauge of soft commodity returns just capped its longest run of weekly losses since May 2017 as signs of ample supply of coffee and sugar collide with demand concerns.Escalating U.S.-China trade tensions are fanning recession fears that are rippling through financial markets. In the case of cotton, price-supportive weather is being undermined by concern that new U.S. tariffs on imports of Chinese textiles will push up costs for consumers and erode fiber demand.“The backdrop for commodities has deteriorated in July-August as multiple headwinds buffet the global macroeconomic outlook,” Fitch Solutions analysts said Friday in a report. “As a result, we remain neutral on most commodities over the rest of the year, in particular towards industrial metals and most agricultural commodity prices.”It’s not all doom and gloom though. The sugar market’s forecast shift into deficit is supportive of prices, according to Citigroup Inc. The recent price pullback in both coffee and sweetener present buying opportunities for users, Aakash Doshi, director of research at the bank said in a note this week.To contact the reporter on this story: Marvin G. Perez in New York at email@example.comTo contact the editors responsible for this story: James Attwood at firstname.lastname@example.org, Reg GaleFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Combination coffee makers are multifunction appliances that let you brew not only a cup or (in some cases) a carafe of coffee but also lattes, cappuccinos, and even iced coffee. “The trend really...
(Bloomberg) -- It’s a really tough time to be a coffee producer. Prices are dismal, Brazil’s massive crops are adding to global oversupply and small-time growers in Central America are fleeing the industry. Now, the economic malaise that’s sending distress signals across financial markets is adding yet another blow to this already fragile commodity.It can be hard to believe that the economic outlook plays a big role in coffee demand, given that caffeine addicts can usually get their fixes relatively cheaply. But while most people won’t forgo their morning jolt to start the day, it’s the extra cup or two that can feel like a luxury and end up being cut when it’s time to tighten belts.“The demand outlook isn’t very promising,” said Hernando de la Roche, a senior vice president at INTL FCStone in Miami, who has traded coffee more than three decades. “In general, a recession would reduce demand for coffee, especially at the coffee shops. People who used to drink one or two cups in the morning at home, and then maybe one cup outside, will probably skip the last one.”That’s bad news for a market that’s already reeling.Prices for arabica beans, the smooth variety favored by companies like Starbucks Corp., are down almost 10% in the past year and in May touched the lowest since 2005. Last week, the International Coffee Organization raised its surplus forecast for the global market, which also includes robusta beans. Olam International Ltd., one of the largest java traders in Asia, on Wednesday blamed lower coffee prices and sales for a drop in revenue at its confectionery and beverage unit.The rout has hit producers hard, especially in countries with higher costs such as Honduras, El Salvador and Guatemala. Competition has gotten so fierce, and prices so low, that coffee farming has become untenable for many small growers -- leading their adult children to shun the business.Gourmet Coffee’s Popularity Soars While Growers Are in CrisisMeanwhile in Brazil, the world’s top coffee grower and exporter, output has accelerated in recent years with highly mechanized production, and there’s no sign that trend is slowing down. The depreciation of Brazil’s real has also encouraged exports from the country. Shippers are ready to sell at an opportunity given the concerns over demand. In Colombia, the No. 2 arabica producer, the peso is also weaker against the dollar. Coffee cargoes are usually priced in the U.S. currency.“With the volatility created by the trade war, people will become more cautious,” de la Roche said.To contact the reporter on this story: Marvin G. Perez in New York at email@example.comTo contact the editors responsible for this story: James Attwood at firstname.lastname@example.org, Millie MunshiFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Welcome to the latest episode of the Full-Court Finance podcast from Zacks Investment Research where Associate Stock Strategist Ben Rains and guest Madeleine Johnson dive into the world of coffee to see how the major publicly traded firms from Starbucks (SBUX) to Dunkin' (DNKN) have performed...
The secret to the drink that drives 11% of the coffee company’s US revenue is xanthan gum. What is xanthan gum? Xanthan gum is a carbohydrate that’s produced when bacteria called Xanthomonas campestris eats.
Arpita Ganesh, founder and CEO of lingerie startup Buttercups, is distraught over Indian coffee baron VG Siddhartha’s death under mysterious circumstances earlier this week. “I cannot even imagine the pressures Siddhartha may have faced, compared to how much I have with my small company and its daily challenges,” she says. A slew of reasons have been floating around as the possible cause of the tragedy, many of which relate to the perils of entrepreneurship—from a business slowdown to mounting debt to tax harassment by authorities.
VG Siddhartha’s passing hit me harder than I thought a stranger’s death would. Perhaps because Café Coffee Day, which Siddhartha founded in 1995, has been a constant, warm, friendly, alternative workplace for many an Indian founder, and Siddhartha a gracious host. Every Indian founder goes through more than a fair share of hard knocks.
Coffee traders endured the market’s worst month in more than two years in July, as prices fell victim to benign growing conditions in Brazil and scorching temperatures in the U.S. and Europe.
HANOI/BANDAR LAMPUNG (Reuters) - Vietnam's domestic coffee prices edged higher this week on low supplies, but traders said domestic prices would not rise further as the new harvest season would begin soon. Farmers in the Central Highlands, Vietnam's largest coffee growing area, sold coffee at 34,600 dong ($1.49) per kg, up from 33,300 dong a week earlier. Traders in Vietnam offered the 5% black and broken grade 2 robusta at a $130 premium per tonne to the September contract.
VG Siddhartha, the founder of Café Coffee Day (CCD), pioneered an upscale coffee drinking culture in India along with Barista’s Amit Judge. From their earliest days, I was more inclined towards Barista than CCD, preferring the placid colour scheme and straight-backed chairs of the Delhi-headquartered chain to the dark walls and tables of the Bangalore-based rival, which made its smaller outlets feel claustrophobic. As far as the product went, CCD served a marginally better cup, and was also a little less expensive.
Much like in the case of wine, a water sommelier can taste it to determine its various qualities and recommend its best use—what food to drink it with, which type to use in which beverage, and so on. Ganesh Iyer, currently director of operations for the Indian subcontinent for Finnish brand Veen, has spent over two decades in the beverage industry working with prominent brands such as Evian, Perrier, and Himalayan. “It is high time people in India pay attention to water, not only from a commercial point of view but as the basis of every other beverage, whether it’s wine, beer, coffee or tea,” said Iyer.
The death of coffee baron VG Siddhartha has left India’s entrepreneur community stunned, though it may not have been the first of its kind. There’s been furious speculation around his demise—a fisherman apparently saw a man jump off the bridge, and a purported note from Siddhartha to shareholders suggests suicide. The son-in-law of former Karnataka chief minister SM Krishna was reportedly under pressure from regulators and tax authorities, and faced allegations of insider trading.
Indian police found the body of the country’s missing coffee magnate, sparking an investigation by authorities and his company into whether he committed suicide.
Electronic City, an IT hub on the outskirts of Bengaluru, houses the massive campuses of some of India’s largest outsourcing companies and inevitably bustles with young techies. Most of these meetings happened at a familiar venue: A Café Coffee Day (CCD) outlet. The coffee cafe chain launched by VG Siddhartha, whose body was reportedly found on the banks of river Netravati early today (July 31), has been part of Indian youth culture for nearly two decades now.
The body of the founder of India’s largest homegrown café retail chain has been found two days after he went missing, media reports said today (July 31). VG Siddhartha, who owned the Café Coffee Day (CCD) retail chain, had gone missing near River Netravati in the southern Indian state of Karnataka on the evening of July 29. Siddhartha’s body was discovered by local fishermen after it washed ashore, reported the Press Trust of India.
VG Siddhartha, chairman and managing director of Cafe Coffee Day (CCD), has been untraceable since yesterday (July 29) evening. “We are taking the help of concerned authorities,” Coffee Day Enterprises, which owns CCD, said in a statement to the BSE. Shares of Coffee Day Enterprises fell nearly 20% on BSE in early trade today (July 30).
Many Guatemalans who spent years working in the United States to come home and set up a small coffee-growing business have seen their savings drained and their hopes dashed due to low coffee prices. "It was perhaps the worst idea we could have had," said Julio Sandoval. The 48-year-old spent 14 years working in a slaughterhouse in Nebraska before returning home with his wife to buy a small piece of land in the south of Guatemala to grow coffee.
"Friends" is officially turning 25 this year and to celebrate, The Coffee Bean& Tea Leaf is partnering with Warner Bros
Participants of the 2nd World Coffee Producers Forum (WCPF) said in a final declaration on Thursday that they would form a legal entity to manage actions in their quest for better pay for producers, including the launch of a platform to increase market transparency. WCPF said it will develop mechanisms, marketing strategies and technological innovations that enable achieving remunerative prices for producers, such as "economic sustainability" and "roasted by origin" seals. The first producers forum, in 2017, was held in Medellin, Colombia.
The Indian coffee market is brimming with interest from international brands. Yesterday (July 8), Indonesian coffee chain Wake Cup Coffee & Eatery opened its first outlet in Mumbai in partnership with the local food and beverage franchise company Gobble Me Good. This marks the seven-year-old brand‘s foray into the international market.
In most English-speaking countries, the train dining car is endangered and arguably extinct. Once the very bastion of luxury travel—delicious food, served against a backdrop of the rushing countryside—these formerly great institutions are mostly replaced by sad sandwich stalls or beleaguered train employees pushing trolleys of potato chips, chocolate bars, and insipid cups of tea and coffee. There, travelers are able to put the wisdom of American travel writer Paul Theroux to the test.
One solution, of course, is to move there forever, or at least until you can rattle off the names of underground music venues and give a halfway-decent walking tour. Let’s say, for example, that you’re traveling to Kenya, and the lens you’ve chosen is coffee. You will explore the best and worst cafes in various cities, chat with their managers, go to coffee-growing regions of the country, tour coffee farms, learn about which beans are grown where and why they are different.
David Muganyura smells the coffee cherries on the slopes of his plot and breaks into a smile, as he chats to workers who are harvesting a crop he expects to be his biggest to date. A long-time Zimbabwean coffee grower, Muganyura almost gave up on the crop when prices slumped to as low as U.S. 20 cents a pound at the turn of the millennium, and foreign buyers took flight after land seizures drove out more than 120 white commercial coffee farmers under the banner of post-colonial reform.
Can another cuppa, this one in India, help Coca-Cola de-risk itself from its traditional soda business? Amid a growing shift to healthier drinks, the beverage giant has for a while been diversifying its portfolio beyond carbonated drinks. Ten months after it splurged $5.1 billion (Rs35,000 crore) to acquire UK-based Costa Coffee, the Atlanta-based company is now said to be eyeing a major stake in the Indian retail chain Café Coffee Day (CCD).