Cocoa Futures Market News and Commentary
Dec ICE NY cocoa (CCZ20) on Friday closed up +41 (+1.58%). Dec ICE London cocoa #7 (CAZ20) closed up +14 (+0.75%).
Cocoa prices on Friday settled higher as they remain range-bound between last Tuesday's 3-week low and the 6-1/4 month high from Sep 3. Cocoa prices have support from concern that political unrest in the Ivory Coast could disrupt cocoa supplies ahead of the country's presidential election on Oct 31. The Ivory Coast government on Tuesday extended a ban on public protests until Sep 30 "in order to prevent disturbances of public order." Violent protests have emerged in the Ivory Coast against President Alassane Ouattara's announcement last month that he will seek a third term.
Cocoa prices also have support from signs that Ghana cocoa farmers are hoarding their cocoa supplies on expectations for higher prices. The Ghana government is expected to raise the farm gate price for cocoa by +21% after implementing a $400 per MT premium on cocoa prices starting Oct 1... Read more