Cocoa Futures Market News and Commentary
March ICE NY cocoa (CCH24) on Wednesday closed +20 (+0.49%), and Mar ICE London cocoa #7 (CAH24) closed +2 (+0.06%).
Cocoa prices recovered from early losses Wednesday and closed higher after Rabobank projected a 2023/24 global cocoa deficit of -160,000 MT due to output declines in the Ivory Coast and Ghana.
Cocoa prices initially moved lower Wednesday, with NY cocoa posting a 1-week low and London cocoa posting a 4-week low on negative carryover from last Friday when the International Cocoa Organization (ICCO) cut its 2022/23 global cocoa deficit estimate to -99,000 MT from a previous forecast of -116,000, citing weaker global demand.
Last Thursday, Mar NY cocoa posted a contract high, and nearest-futures (CCZ23) posted a 46-year high. Cocoa prices remain underpinned as continuous rain has limited fieldwork and encouraged crop disease on West African farms, which provide most of the world's cocoa supply. It has also stoked concern that current cocoa production... Read more