Orange-juice futures rose to a two- year high after the U.S. Department of Agriculture said that the crop in Florida, the world’s second-largest grower, will shrink to the lowest since 1985 amid crop disease.
Arabica coffee prices may be set for a “straight up vertical spike” to a record $4 a pound by the end of the first quarter with daily gains of 50 cents a pound after climbing to a 13-year high last week, researcher Shawn Hackett said.
A gnat-sized insect, the Asian citrus psyllid, forced Dean Mixon to replace about 1,000 orange trees in the past two years on the 50-acre Florida farm his grandfather started in the 1930s. The bug spreads a disease called citrus greening, causing fruit to shrink and drop early.
Orange-juice futures are poised to rally as much as 42 percent in New York to the highest since February 2012, after topping a key resistance line, a technical analysis by Hackett Financial Advisors Inc. shows.
Orange-juice futures that are the cheapest for this time of the year since 2004 may rise as much as 15 percent after forming a descending wedge pattern, a technical analysis by Hackett Financial Advisors Inc. shows.