COFFEE C ® FUTURES FACTS

DESCRIPTION The Coffee C contract is the world benchmark for Arabica coffee. The contract prices physical delivery of exchange-grade green beans, from one of 20 countries of origin in a licensed warehouse to one of several ports in the U. S. and Europe, with stated premiums/discounts for ports and growths. MARKET SPECIFICATIONS TRADING SCREEN PRODUCT NAME Coffee "C" Futures TRADING SCREEN...

In What Hours Are Coffee Futures Traded?

After picking up you daily dose of caffeine at the local coffee shop each morning, you might want to find a way to earn some of that money back. With coffee futures you can make a leveraged bet on the price action of the beans that go into your daily brew. Unlike the stock markets, electronic futures trading operates...

Hedging Against Rising Coffee Prices using Coffee Futures

Businesses that need to buy significant quantities of coffee can hedge against rising coffee price by taking up a position in the coffee futures market. These companies can employ what is known as a long hedge to secure a purchase price for a supply of coffee that they will require sometime in the future. To implement the long hedge, enough coffee...

Buying Coffee Put Options to Profit from a Fall in Coffee Prices

If you are bearish on coffee, you can profit from a fall in coffee price by buying (going long) coffee put options. Example: Long Coffee Put Option You observed that the near-month Euronext Robusta Coffee (No. 409) futures contract is trading at the price of USD 1,648 per tonne. A Euronext Coffee put option with the same expiration month and a...

Buying Coffee Call Options to Profit from a Rise in Coffee Prices

If you are bullish on coffee, you can profit from a rise in coffee price by buying (going long) coffee call options.   Example: Long Coffee Call Option You observed that the near-month Euronext Robusta Coffee (No. 409) futures contract is trading at the price of USD 1,648 per tonne. A Euronext Coffee call option with the same expiration month and a...

Coffee Options Explained

Coffee options are option contracts in which the underlying asset is a coffee futures contract. The holder of a coffee option possesses the right (but not the obligation) to assume a long position (in the case of a call option) or a short position (in the case of a put option) in the underlying coffee futures at the strike price. This...

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COFFEE C ® FUTURES FACTS

DESCRIPTION The Coffee C contract is the world benchmark for Arabica coffee. The contract prices physical delivery of exchange-grade green beans, from one of 20...

In What Hours Are Coffee Futures Traded?

After picking up you daily dose of caffeine at the local coffee shop each morning, you might want to find a way to earn...

Hedging Against Rising Coffee Prices using Coffee Futures

Businesses that need to buy significant quantities of coffee can hedge against rising coffee price by taking up a position in the coffee futures...