Soft commodities price watch: Wheat set for decline this week
iNVEZZ.com, Friday, October 25th: The wheat price is headed for its biggest drop in more than two months this week due to speculation that an increase in shipments from India, the world’s second-biggest grower of the grain, will boost supplies in a year when global output is projected to reach a record.
After falling 0.2 percent, the contract for December delivery on the Chicago Board of Trade (CBOT) had climbed 0.39 percent to trade at $6.9925 a bushel as of 12:39 BST. Futures are set for a 1.3 percent loss this week, the most since August 9 and the first decrease in six weeks. Prices fell 0.7 percent yesterday after India issued a tender to export 120,000 tonnes of milling wheat from Mundra port in the period from November 24 to December 20.
As of 12:42 BST, the corn price for December delivery was 0.11 percent higher at $4.4075 a bushel, while the soybean price for delivery in January traded 0.21 percent down at $13.0100 a bushel.
Cocoa trades near three-week low
Cocoa today traded near the lowest price level in almost three weeks in London on speculation that demand will start to slow, leading investors who bet on higher prices to sell some of their futures.
The cocoa price for delivery in March on NYSE Liffe in London had fallen 0.11 percent to be at £1,703 a tonne as of 13:10 BST. Earlier today, the contract touched £1,697, the lowest level since October 7. In New York, cocoa for the same month of delivery on ICE Futures US was unchanged at $2,686 a tonne.
!m[Cocoa price near three-week low on speculation of slowing demand ](/uploads/story/6350/thumbs/pic1_inline.jpg)
According to data from the European Cocoa Association in Brussels and the National Confectioners Association in Washington, cocoa grindings, an indication of demand, are recovering as chocolate consumption picks up, especially in developed countries. Processing gained 4.7 percent year on year in Europe in the third quarter and 8.2 percent in North America. Cocoa bean deliveries to ports in top producer Ivory Coast more than doubled to 106,000 tonnes in the October 1-20 period, data on KnowledgeCharts has shown. That compares to 47,000 tonnes in the same period a year earlier.
As of 13:22 BST, the Arabica coffee price for delivery in December on ICE had gained 0.41 percent to be at $1.1075 a pound, while Robusta coffee for delivery in January on NYSE Liffe had climbed 0.2 percent to $1,579 a tonne. As of the same time, the raw sugar price for delivery in March had slid 0.53 percent to be at $0.1887 cents a pound in New York. Refined, or white sugar for December delivery today has fallen as much as 0.4 percent to $500.20 a tonne in London.
Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.