Cocoa #7 Mar '27 (CAH27)
Cocoa #7 Futures Market News and Commentary
July ICE NY cocoa (CCN26) on Monday closed up +382 (+9.22%), and July ICE London cocoa #7 (CAN26) closed up +182 (+5.54%).
Cocoa prices surged to 6-week highs on Monday and settled sharply higher as excessive rains in the Ivory Coast have flooded roads, cutting off farmers' access to farms and ports. Excessive moisture also increases the risk of brown rot disease on cocoa trees, reducing yields and jeopardizing the harvest.Â
Cocoa prices have underlying medium-term support from weather concerns. On June 10, Japan's Meteorological Agency confirmed an El Niño weather pattern had formed across the equatorial Pacific. An El Niño typically brings warmer, drier conditions to West Africa, reducing soil moisture, stressing cocoa trees, and lowering yields. The US National Oceanic and Atmospheric Administration (NOAA) estimates a 67% chance of a "Super El Niño" this year, one of the strongest ever recorded.Â
Cocoa prices also have support from early surveys of the 2026/2... Read more
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