Arabica coffee futures on ICE fell to their lowest level in more than 13 years on Tuesday as the market continued to struggle to absorb excess supplies.
May arabica coffee was down a quarter of a cent, or 0.3 per cent, at 91.85 cents per lb by 1205 GMT after dipping to 91.25 cents, the weakest for the front month since December 2005.
Dealers said speculators were extending net short positions against the backdrop of excess supplies. One dealer noted that Brazil would start to harvest a large arabica crop next month even though it is an off-year in its biennial crop cycle.
