NY cocoa turns lower after climbing to 6-month peak
NEW YORK/LONDON — New York cocoa futures retreated from an earlier six-month high on Friday, with the recent run-up seen unlikely to be sustained due to a generally favorable outlook for production in top grower Ivory Coast.
* March New York cocoa settled down $37, or 1.4%, to $2,518 a tonne after rising to a six-month peak of $2,577.
* Dealers noted the flow of cocoa from Ivory Coast had been disrupted by a dock workers strike in San Pedro, one of the nation’s two main ports although the outlook for this year’s crop remained favorable.
* “As soon as the delays to shipments are resolved following the end of the strike, cocoa prices should shed their gains again, for cocoa farmers expect the pace of harvesting and shipments to increase from mid-November and yields to be better than last year,” Commerzbank said in a note.
* March London cocoa fell 61 pounds, or 3%, to 1,971 pounds per tonne, with a stronger pound versus the dollar adding to downward pressure on prices.
* March arabica coffee settled up 0.4 cents, or 0.2%, at $1.681 per lb, edging away from a 15-month low of $1.6045 set on Thursday.
* Dealers said a large inflow of arabica coffee into ICE-approved warehouses remained a bearish influence.
* ICE-certified arabica stocks rose to 454,056 bags on Nov. 11, climbing further from a 23-year low of 382,695 bags set on Nov. 3. And bags pending grading rose to 456,133 bags in Antwerp, which could increase overall stocks to more than 900,000 bags.
* January robusta coffee rose $9, or 0.5%, to $1,836 a tonne, rebounding from the prior session’s fall to a 15-month low of $1,788.
* March raw sugar settled up 0.23 cent, or 1.2%, at 19.64 cents per lb after setting a five-month peak of 19.85 cents.
* Dealers said funds were adding to long positions in raw sugar against the backdrop of a weaker dollar and a rally in global equity markets.
* December white sugar rose $11.40, or 2.1%, at $566.50 a tonne. (Reporting by Marcelo Teixeira and Nigel Hunt; Editing by David Evans, Jonathan Oatis and Shailesh Kuber)
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