By SANDY SHORE
AP Business Writer / September 10, 2012
The price of coffee is skyrocketing on speculation that Colombia’s harvest will be smaller than expected for the fourth straight year.
Coffee for December delivery jumped 10.6 cents, or 6.5 percent, to finish at $1.7365 per pound. That’s the highest level since early August.
Although Brazil’s coffee crop appears headed toward a robust harvest, Colombia’s crop was hampered by heavy rainfall that caused delays earlier in the season. Colombia could produce a smaller-than-expected crop for the fourth consecutive year, Barclays Capital analysts said in a report on Friday.