Woof woof! Here's last week's coffee price report!

Last week's market saw some surprising changes, like a sudden clap of thunder while you're out for a walk! The week from July 28th to August 3rd started off strong with cats wagging their tails, but halfway through, prices plummeted, as if their favorite ball had suddenly bounced in a different direction.

Especially on August 1st, it crashed to $286.23/pound , a 2.90% drop from the previous day! It was a shock, like when your favorite walking route is suddenly under construction and you have to take a different route.

Why did it drop so much? Even a dog can understand the reason

The biggest reason is that rumors have spread that Uncle Trump might stop imposing tariffs on Brazilian coffee ! Until last week, everyone was freaking out, thinking, "We're going to have to impose a 50% tariff!" But now people are saying, "Maybe he'll stop after all," and the market has been turned upside down.

Adding to that, the disappointing US employment numbers also played a role . Only 73,000 new jobs were added in July, far fewer than the 110,000 people had hoped for. This weakened the US dollar and changed its relationship with the yen.

The relationship between the yen and the dollar was also difficult.

The USD/JPY fell to 147.27 yen , a 2.35% increase over the previous day. It's like my big dog friend who I always play with has suddenly become tiny.

This week's walking course (points to note)

Here are some things to keep an eye out for this week:
1. Continuing with the tariff story - August 1st was the deadline, so everyone is anxiously waiting to see what Uncle Trump will officially decide.
2. The Bank of Japan's actions - The Bank of Japan remains in a relaxed mode and does not seem to have any plans to raise interest rates.
3. US economic indicators - The employment statistics were weak, so other economic data is also of interest.

This week's predictions (including my dog's intuition)

If the tariffs are truly lifted, the price may fall to the $280 range. However, if the tariffs are reinstated, it could suddenly spike up! July and August are historically good seasons for coffee, so there's a chance that the price may have bottomed out.

But it's these ups and downs that make the market so interesting! I hope to keep a close eye on market movements this week and that we can all continue to enjoy delicious coffee!

*Invest at your own risk, be careful and wag your tail!