Coffee Price News: DeSantis Weighs In as Coffee Futures Surge
- Florida Governor Ron DeSantis recently weighed in on surging coffee prices, responding to a chart shared by Spencer Hakimian showing Coffee Dec ’25 futures jumping 2.89% to $408.95. “Demand for coffee in America = inelastic,” DeSantis posted on X. “People will pony up before changing their habits when it comes to that cup of Joe.”
- His comment captures an economic reality: Americans won’t give up coffee easily, even when prices climb. This inelastic demand means higher costs get absorbed rather than changing consumption habits.
- Coffee futures are now approaching yearly highs, driven by supply constraints in Brazil and Vietnam plus increased speculative trading. The rally mirrors earlier volatility in cocoa and sugar markets, part of broader pressure on agricultural commodities.
- DeSantis’s observation also touches a nerve in the inflation debate. While some see resilient consumer spending as economic strength, others argue it masks the real strain on households—especially lower-income families who spend more of their budgets on daily essentials.
- According to the Barchart data, coffee futures are testing the $410–$420 resistance zone. If prices push higher, coffee could become another significant driver of food inflation, adding to persistent cost pressures Americans face at checkout.
- Though DeSantis’s tweet was casual, it underscores a truth: America’s coffee habit is so ingrained that not even rising prices can shake it—making it one of the clearest examples of inelastic demand in action.
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