cocoa futures news

cocoa futures news

May 12th, 2017

Commodity players in the exchange traded products market are proving chocaholics.

For 10 consecutive weeks, the investors in exchange traded products, or ETPs, have raised their exposure to cocoa.

That has lifted assets investment in cocoa ETPs to $83m, up from some $27m, according to data from ETF Securities, which claims a 99% share of trading in the exchange traded products in ags in Europe.

That has made the market more valuable than that in corn, one of the biggest markets for futures investors, as well as those in cotton, soybeans and sugar – if lagging the $150m invested in wheat EPTs.

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Cocoa futures best bet among softs

On January 11, 2017, in cocoa futures trading news report, by Infinity Trading
cocoa options

cocoa options

January 11th, 2017

Cocoa looks the best bet among soft commodities for price rises, veteran analyst Judith Ganes Chase said, warning of “somewhat bearish” dynamics in coffee, and cotton prices that are already “too attractive” for growers.

Ms Ganes Chase named cocoa futures – which touched $2,121 a tonne in New York in late December, the lowest for a spot contract since March 2013 – as her “favoured pick” among soft commodities “as a market that has room to climb”.

“The cocoa market remains at low levels relative to the rest of the softs complex and would seem to have fundamentals that are not quite as bearish as market action suggested,” she said.

While acknowledging firm expectations for cocoa output in Ivory Coast, the top producer, saying that “there is no anecdotal evidence to believe the crop will miss production targets”, Ms Ganes Chase flagged potential support to prices from demand.

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cocoa futures news

cocoa futures news

January 6th, 2017

Cocoa futures prices rose on Friday as disgruntled soldiers seized control of the second largest city in the world’s top grower Ivory Coast, prompting a wave of short covering, though the New York market turned lower along with the weak British pound.

Sugar and coffee futures eased.

March London cocoa settled up 12 pounds, or 0.7 percent, at 1,821 pounds per tonne, after surging 2.2 percent to a two-week high at 1,848 pounds following the reports from Ivory Coast.

Unrest in Ivory Coast appeared to be spreading with reports that gunfire had erupted in the western cocoa growing region of Daloa, hours after soldiers demanding salary increases seized the second largest city, Bouake.

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Cocoa futures rise from multi-year lows

On December 20, 2016, in cocoa futures trading news report, by Infinity Trading
cocoa futures news

cocoa futures news

December 20th, 2016

Cocoa futures prices were boosted on Monday by news that speculators had increased further an already large short position, prompting some to expect there may be scope for a short-term rebound in prices. May New York cocoa was up $51, or 0.85 percent, at $2,257 a tonne at 1500 GMT. The second position has recovered some ground after dipping to a low of $2,144 a week ago, its weakest since July 2013.

Speculators boosted bearish bets on cocoa to a 4-1/2 year high in the week to Dec. 13, US Commodity Futures Trading Commission data showed on Friday. Dealers said the scope for further losses may also be limited after a prolonged slide, with the market on course to fall nearly 30 percent in 2016.

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cocoa options

cocoa options

December 13, 2016

Raw sugar futures fell into bear market territory Tuesday as traders exiting long positions largely looked past a boost to gasoline prices in Brazil.

Raw sugar for March delivery dropped 3.4% to end at 18.60 cents a pound on the ICE Futures U.S. exchange, the lowest close for the most active contract since June 2.

The sugar market is still heavily long, with the bulls outweighing the bears by 174,459 contracts as of last Tuesday, according to U.S. Commodity Futures Trading Commission data. At the close, the market was down 22% from its most recent high reached Oct. 5, pushing it into bear market territory.

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Cocoa Futures Market Attempts Rally

On December 12, 2016, in cocoa futures trading news report, by Infinity Trading
cocoa options

cocoa options

December 12th, 2016

Cocoa was on track to have its first day of gains in seven sessions Monday as traders reentered the market to snatch up futures at cheaper levels.

Cocoa for March delivery rose 2.5% to $2,225 a ton on the ICE Futures U.S. exchange, bouncing off a three-and-a-half year low reached Friday.

As of last Tuesday, hedge funds and other money managers were the least bullish they’ve been about the cocoa market since July 24, 2012, with the bulls outweighing the bears by 4,908 contracts, according to data from the U.S. Commodity Futures Trading Commission.

Analysts say the cocoa market is moving from a production surplus to a production deficit year with higher prices for farmers in West Africa helping to driving production at the same time that weather conditions have improved for developing crops.

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cocoa futures news

cocoa futures news

December 9th, 2016

Plummeting cocoa prices could spur demand, with processing margins at their highest level in years, analyst Judith Ganes-Chase said.

Ms Ganes-Chase said market were ‘underestimating’ the scale of current cocoa processing, suggesting the size of this year’s market surplus may less than thought.

Cocoa prices in New York are plumbing their lowest level in over three years, under pressure from the big crop in West Africa.

“More and more observers are expecting to see a sizeable oversupply in the current 2016-17 crop year,” said Commerzbank on Friday.

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cocoa options

cocoa options

December 9th, 2016

Cocoa futures dropped to the lowest level in three-and-a-half years, headed for a sixth session of losses as more predictions of a global surplus hit the market.

Cocoa for March dropped 2.2% to $2,223 a ton on the ICE Futures U.S. exchange, on track for its lowest close since July 10, 2013.

“More and more observers are seeing a sizeable oversupply,” Commerzbank said in a note.

Judith Ganes Chase, president of research firm J. Ganes Consulting, said traders should be cautious about assuming that big crops in cocoa will lead to oversupply. She said she anticipates demand will recover as processing margins improve under lower prices.

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cocoa futures news

cocoa futures news

November 23rd, 2016

Speculators, who have been big players in ag markets such as soybeans and sugar this year, will remain “quite active” in 2017, Rabobank said – naming cocoa as its most bullish bet for next year, and coffee the most bearish.

The appeal of ags to hedge funds “is unlikely to change in 2017″, Rabobank said, citing the quest by investors for yield at a time of low borrowing costs.

“Interest rates are expected to rise only very slowly, keeping investors looking for higher returns,” the bank said, adding that index funds may also “be back in the market toward the second half of next year”.

“The interest in commodity index funds, which offer a hedge against inflation, may be rekindled if fear of inflation reappear,” with Rabobank noting “a few signs”, from the likes of bond market spreads, that the pace of global price rises may “slightly increase” next year.

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cocoa futures brokers

cocoa futures brokers

February 25, 2016

Cocoa prices rose Thursday as traders expected recent dry weather to slash production for the upcoming West African smaller midcrop.

Cocoa for May was up 1.3%, at $2,963 a ton, on the ICE Futures U.S. exchange.

In a note, trading firm Cocoanect, based in Rotterdam, Netherlands, said it expects the stunted beans coming out of the tail end of the main cocoa harvest to foretell losses for the upcoming midcrop because of a lack of rain and seasonal winds in the growing areas.

The firm also said, however, that cocoa beans from the main harvest–which is now winding down–are arriving at ports in Ivory Coast, the crop’s largest grower, at the same rate as last year and purchases are ahead by 100,000 metric tons in Ghana, the world’s second largest grower. Traders had expected the dry weather to hurt the main crop, the firm said.

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