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IPFS News Link • Inflation

OJ Prices Squeeze Into Blue-Sky Breakout As Food Inflation Fears Soar

• Zero Hedge

Orange juice futures in New York surged to new record highs on Friday morning, with prices squeezing over 30% in just a few short weeks. The latest price jump comes as citrus crop troubles across Brazil and the US continue to worsen global supply fears

The price of orange juice futures has soared to records, adding strain for consumers of the staple breakfast beverage. Citrus-crop woes in Brazil and the US are helping to fuel the relentless surge higher. Brazil is expected to see its worst orange harvest in 36 years, which will have a dramatic impact on global juice supplies — the South American nation accounts for about 70% of total exports of the beverage. In the US, Florida's orange groves have also suffered from decades of damage from disease and weather, putting limits on supplies from the top US juice producer. -Bloomberg 

According to Bloomberg data, OJ prices rose 10 cents, or 2.14%, to $4.765/lb, the exchange limit. Prices are in blue-sky breakout territory.