Cocoa Futures Market News and Commentary
July ICE NY cocoa (CCN22) on Tuesday closed up +8 (+0.32%), and July ICE London cocoa #7 (CAN22) closed down -23 (-1.28%).
Cocoa prices Tuesday settled mixed, with NY cocoa climbing to a 1-1/2 week high. Signs of smaller cocoa supplies are bullish for prices. The Ivory Coast government reported Monday that Ivory Coast cocoa farmers sent a cumulative 2.10 MMT of cocoa to Ivory Coast ports from Oct 1-May 15, down -0.5% y/y.
London cocoa Tuesday erased its gains and moved moderately lower after (^GBPUSD) rallied to a 1-1/2 week high. A stronger British pound undercuts cocoa priced in sterling.
Cocoa prices have support on signs of stronger global cocoa demand. Gepex, a cocoa exporter group that includes six of the world's biggest cocoa grinders, reported last Wednesday that the group processed 49,148 MT of cocoa in April, up +16.3% y/y.
Increased cocoa supplies from Nigeria, the world's fourth-largest cocoa producer, are bearish for prices after data on... Read more