Arabica coffee prices hit a record level, as traders digested the withdrawal of President Trump’s threats to impose tariffs and economic sanctions on Colombia.

Hours after threatening punitive tariffs, the White House said Colombia agreed to accept deported migrants and lifted the threat of new levies.

The White House said Sunday that Colombia has agreed to all of President Donald Trump’s terms after Trump threatened to impose sweeping retaliatory measures against it, including tariffs and visa sanctions,

Arabica coffee prices hit an all-time high after President Trump threatened to impose 25% tariffs and economic sanctions on Colombia, a major exporter, before backing down. Futures for the high-end be

The White House on Sunday said it would hold off on the tariffs, saying Colombia had "agreed to all of President Trump's terms."

The dollar firmed on Monday as traders pondered the ramifications of U.S. President Donald Trump's tariff plans at the start of a week where the Federal Reserve is widely expected to hold interest rates steady.

President Trump's threat to impose retaliatory 25% tariffs on Colombia briefly ignited fears of a further surge in already high coffee prices. Why it matters: Beans from Colombia make up 20% of U.S. coffee imports,