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US coffee futures finished in negative territory Friday, with speculators taking positions on the prospect of more rain refreshing trees in top producer Brazil's coffee belt early next week, traders said.
"Next week we are looking for some rains in the coffee areas so we will see if that brings some weakness here," one trader said. "Today it was really back and forth, with specs on both sides of the market."
On the New York Board of Trade, the most-active December coffee contract fell 0.95 cent to settle at 77.20 cents a lb, after trading from 77.05 to 78.60 cents.
March 2005 slid 0.90 cent to 80.30 cents, while longer-dated contracts eased to 0.90 to 1.00 cent.
Coffee futures were expected to open unchanged to a shade down. Prices slumped when fresh weather reports confirmed approaching rains in Brazil, traders said.
Private meteorological firm Somar said more rain should fall on coffee areas in Brazil's Parana and Sao Paulo states on Monday, spreading northward to top producer Minas Gerais next week.

Copyright Reuters, 2004

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