Jan 18, 2020

Coffee edges toward a bear market

Photo: Nelson Almeida/AFP via Getty Images

Coffee is hovering on the edge of bear-market territory amid shifting supply expectations in Brazil, Bloomberg reports.

By the numbers: As of Friday, ICE stockpiles showed their first consecutive weekly gain since August, with weakened Brazilian currency increasing interest in "exports priced in the greenback," per Bloomberg. Coffee beans for delivery in March declined to $1.1215 a pound on ICE Futures, and the price fell 19% from a December high — inching closer to the 20% threshold of a bear market, Bloomberg writes.

  • Brazil's top arabica shipper Cooxupe said it was running low on beans to fill new orders, "countering forecasts of ample supply that drove prices to 13-year-lows," Bloomberg notes.

What they're saying: “As the crop was smaller last year, the big export volume implies Brazil probably had ample inventories,” Nelson Carvalhaes, CeCafe president, said at a press briefing.

Go deeper: Investors react to Brazil's plummeting coffee reserves

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Trump hits back at Mattis: "I gave him a new life"

President Trump speaks at the White House. Photo: Doug Mills - Pool/Getty Images

President Trump unloaded on his former defense secretary via Twitter on Wednesday, hours after James Mattis condemned him for making a "mockery of our Constitution" in his response to mass protests in the wake of George Floyd's killing.

What he's saying: "Probably the only thing Barack Obama & I have in common is that we both had the honor of firing Jim Mattis, the world’s most overrated General. I asked for his letter of resignation, & felt great about it. His nickname was 'Chaos', which I didn’t like, & changed it to 'Mad Dog'"

Obama praises young protesters, urges mayors to pursue police reforms

Former President Barack Obama called on all mayors to review their use-of-force policies and commit to policing reform in a virtual town hall Wednesday hosted by the Obama Foundation's My Brothers Keepers Alliance.

Why it matters: Obama has addressed the killing of George Floyd and the nationwide protests that followed on social media and in a Medium post, but this was his first time speaking about the past week's events on camera. His voice will add weight to the growing pressure on local, state and federal officials to pursue policing reforms.

James Mattis condemns Trump as a threat to the Constitution

Mattis on Fox in Septemnber 2019 in New York City. Photo: Steven Ferdman/Getty Images

Former Secretary of Defense James Mattis condemned President Trump for making a "mockery of our Constitution" in a statement to The Atlantic on Wednesday, saying he was "appalled" at the president's response to mass protests in the wake of George Floyd's killing.

Why it matters: Trump’s former defense secretary had refrained from publicly criticizing his former boss since resigning in 2018.