SoftSignal Research  /  Markets  /  Coffee

Coffee is the market where weather is the fundamental.

Two exchanges, a handful of origins, and a crop that cannot be replanted in a season. When Brazil catches a cold night in July or Vietnam's monsoon arrives late, the balance sheet moves before the price does. We track positioning, supply, and growing-region conditions in one weekly read — so you see the setup, not just the headline.

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Markets covered
KC ICE US — Coffee "C" Arabica, 37,500 lb, New York
RC ICE EU — Robusta Coffee, 10 metric tons, London
Origins monitored
Arabica Brazil · Colombia · Ethiopia · Central America
Robusta Vietnam · Brazil Conilon · Indonesia

2
Futures markets — KC Arabica (New York) and Robusta (London), read side by side
7
Growing regions under continuous agro-climatic monitoring
2006+
COT positioning history — every print percentile-ranked against two decades
Daily
Weather-series cadence, with in-season Brazil frost risk each Southern-winter morning

A supply story concentrated in a few places on Earth

Most commodity markets diversify their risk across hemispheres and seasons. Coffee does not. A large share of the world's arabica comes from one plateau in Brazil, and a large share of its robusta from one highland in Vietnam. A single frost event, a failed flowering, or a late monsoon is not a regional story — it is the story, for two full crop years, because a damaged tree does not yield again next season the way a replanted row crop does.

That concentration is why coffee rewards traders who watch conditions on the ground rather than waiting for agency estimates to catch up. By the time an official production revision lands, the weather that caused it has been visible in reanalysis data for months. The questions that matter are the uncomfortable ones: is the dry season stress that is building in Minas Gerais normal for the date, or two sigma beyond it? Did the cold front that made headlines actually reach leaf-damaging temperatures at canopy height — or just make for good photographs?

And positioning decides how much of that story is already in the price. Managed money in KC runs to extremes more readily than in most agricultural contracts, and the commercial side of the book — origin selling, roaster pricing — leans hard against it. When a weather scare meets a crowded long, the interesting question is rarely the weather. It is who is left to buy.


Four layers, one read

Every SoftSignal market is covered the same way: who holds the positions, what the balance sheet says, what conditions on the ground are doing, and what the climate background implies. For coffee, each layer looks like this.

PositioningWho holds the risk
CFTC disaggregated COT for KC and ICE Liffe for Robusta — managed money and commercial net positions, percentile-ranked against full history since 2006, with week-over-week flow and the Deferred Crop-Year Positioning read from the crop-year split.
Supply & demandThe balance sheet
USDA FAS PSD world production, ending stocks, and stocks-to-use by origin, alongside CONAB Brazil crop surveys — arabica and conilon estimates through the survey cycle, and the June-to-December USDA revision tracked release by release.
Ground conditionsWhat the crop is experiencing
ERA5-based crop-water-stress deviations for all seven origins, thermal stress accumulation through the growing season, in-season daily Brazil frost risk across ten tiered arabica sites, and leaf-rust weather conditions — the humidity and temperature windows that let rust pressure build.
Climate backgroundThe season-scale tilt
ENSO phase from NOAA indices (classified on the climate-adjusted RONI) and the Indian Ocean Dipole — the two ocean signals with documented links to Brazil rainfall, East African crops, and the Vietnamese monsoon.

What matters, when

Coffee risk is seasonal and asymmetric. The market cares about different weather in July than in October — and the two hemispheres take turns holding the pen.

Brazil — Arabica
Flowering
Sep – Nov
Cherry development
Dec – Apr
Harvest
May – Sep
Frost-risk window
Jun – Aug
Vietnam — Robusta
Rainy season
May – Oct
Harvest
Nov – Jan
Dry-season irrigation
Feb – Apr

Approximate windows for the principal producing areas — Sul de Minas / Cerrado arabica and Central Highlands robusta. Exact timing shifts year to year with the onset of rains; that shift is itself one of the signals the weekly report tracks.


The weekly rhythm

Monday
Growing-region weather series refresh daily
Tuesday
COT report date — positions as of today's close, published Friday
Wednesday
Frost-risk read each morning in season (Jun – Aug)
Thursday
Leaf-rust and thermal-stress series update
Friday
CFTC + ICE Liffe COT released 3:30pm ET
Coffee Market Intelligence publishes on the new data

On the monthly and seasonal clock: ENSO and IOD reads each month, CONAB Brazil survey releases through the year, and USDA FAS PSD world balance-sheet updates in June and December.


Where coffee shows up

Weekly report · Subscribers
Coffee Market Intelligence

The core read: KC and Robusta positioning with percentile context, sentiment index, crop-water stress across all seven origins, price and seasonal trajectory overlays.

See it in the demo →
Supplement · Subscribers
Coffee Production & Supply Estimates

CONAB Brazil surveys and USDA PSD world balance sheet in one place — production by origin, stocks-to-use, and how the official estimates revise against each other.

See it in the demo →
In-season · Daily
Brazil Frost Risk & Leaf-Rust Conditions

A daily tiered frost-risk read across ten arabica sites through the Southern winter, and a weather-window view of leaf-rust pressure — risk class, not anomaly.

How the frost model works →
Free · Weekly signal
KC Coffee Signal Page

The public one-page read: managed-money regime, week-over-week change, and growing-region stress — updated after every CFTC release, with an RSS feed.

Current KC signal →

Coffee research notes

Read this week's coffee data

The full report — positioning percentiles, all seven origin stress series, and the supply supplements — is in the open demo. No email, no card.

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Also covered

Grains & Oilseeds Cotton Livestock Energy