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How to short coffee?

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How to short coffee?

hi What is the easiest way for me to trade the trade agricultural commodities, specially the coffee sector atm I'm feeling a tad contrarian atm Cheers Peter

Answer

Hi Peter,

As an office that drinks too much coffee we hope you are correct!

  • Traders would play coffee on both the long and short side through futures &/or options on futures. From a retail perspective, CFD’s are probably the simplest way of getting exposure.

However, if you’re thinking more in terms of ETFs, unfortunately there is no large, liquid, simple broad commodity, or softs/coffee, inverse ETF.

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Coffee Futures ($US/lb)
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