Soft commodities price watch: Cocoa hits 21-month high
iNVEZZ.com, Thursday, October 10th: The cocoa price today hit a 21-month high in London on indications of increased demand for the commodity used in chocolate. According to the European Cocoa Association, cocoa processing in Europe rose 4.7 percent in the third quarter. The grind fell 16 percent a year earlier as fewer companies reported data and processing margins narrowed.
“Cocoa demand is still on the road to recovery,” Carsten Fritsch, an analyst at Commerzbank AG in Frankfurt, said in a report e-mailed to Bloomberg today. “Cocoa grinding is being given a boost by an increase in grinding margins.”
Cocoa for delivery in December on NYSE Liffe in London had gained 0.7 percent to trade at £1,766 a metric tonne as of 10:56 BST. Earlier today, the contract touched £1,769 a metric tonne, its highest level since at least December 15, 2011. In New York, the contract for the same month of delivery on ICE Futures US traded 0.63 percent higher at $2,721 a tonne at 12:30 BST.
As of same time, the Arabica coffee price for delivery in December on ICE had climbed 0.67 percent to be at $1.1580 a pound. Robusta coffee for delivery in November on NYSE Liffe gained as much as one percent to $1,739 a tonne.
Refined, or white, sugar for delivery in December today added 0.2 percent to $498.20 a tonne in London, while the raw sugar price for delivery in March slid 0.4 percent to $0.1852 a pound in New York.
**Grain futures rise**
!m[Corn gains on strong demand for US supplies](/uploads/story/6004/thumbs/pic1_inline.jpg)
Grain futures have been trading broadly higher today. The corn price has extended gains from the previous session amid indications of robust demand for US supplies. A private Chinese trading firm last week purchased 420,000 tonnes of US corn for delivery next year, Bloomberg has reported.
By 13:17 BST, the corn price for delivery in December on the Chicago Board of Trade (CBOT) had risen 0.56 percent to be at $4.460 a bushel. Earlier in the session, the price rose as high as $4.4563 a bushel.
Elsewhere on the CBOT, the soybean price for delivery in November had climbed 0.80 percent to stand at $12.9850 a bushel as of 13:27 BST, gaining for the first day in three. The wheat price for December delivery also advanced, adding 0.51 percent to $6.940 a bushel.
In Paris, milling wheat climbed to the highest price level in more than three months, as Egypt, the world’s leading wheat importer last season, issued a tender to buy the grain for the first time in a month. The contract for November delivery had climbed one percent to trade at €199.50 a tonne as of 12:22 BST on NYSE Liffe. Earlier in the session, the price touched €199.75 a tonne, the highest since June 21.
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