economy
Forget AI: One of the hottest trades right now is coffee
Coffee has become one of the best trades in the market lately, outpacing even artificial intelligence.
TL;DR
- Coffee futures have increased by 13% in three months, surpassing AI-related ETFs and the S&P 500.
- Strong demand, record production, and extreme weather are contributing to coffee price increases.
- An earthquake in Colombia disrupted a significant portion of the country's coffee exports.
- Keurig Dr Pepper has been upgraded to 'buy' with a price target implying over 35% upside.
- Starbucks stock has risen 29% year-to-date, with analysts predicting further potential gains.
- Trading coffee directly is difficult for small investors, but coffee-related stocks offer opportunities.