US coffee futures ended up more than 2 percent Tuesday as funds and speculators bought on speculation that forecast rains for top grower Brazil might not materialise, traders said.
"The market is trading on weather. Now it looks a little bit drier on the follow-up rains, and it is really important for the flowering period that Brazil gets these rains," one trader said.
On the New York Board of Trade, most-active December arabica rose 1.95 cents or about 2.5 percent to settle at 78.15 cents a lb after trading from 76.10 to 78.50 cents. March likewise rose 1.95 cents to 81.30 cents and longer-dated contracts climbed 1.75 to 1.95 cents.
Meteorlogix said its latest long-range forecast that the next chance of scattered showers for Brazil will be during the middle of next week.
Futures plunged almost 5 percent on Monday after rains fell over the weekend and through Monday in Brazil's parched coffee region.
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