Why arabica hit a record price — and what climate had to do with it

Arabica futures on ICE Futures U.S. reached $3.4835 per pound on December 10, 2024, the highest price ever recorded for the contract. Two months later the market went through $4.00 for the first time, and kept going. Two weather events on opposite sides of the world did most of the work: drought across Brazil during the flowering window, and a second bad year…