Cocoa rebounds on signs of higher U.S. demand, slower exports
Cocoa processing in the U.S., the second-biggest grinder behind the Netherlands, rose 1.9 percent to 92,088 metric tons in the fourth quarter from a year earlier, according to the National Confectioners Association in Vienna, Virginia. Beans sent to Ivory Coast ports for export dropped 14 percent in December to 153,036 metric tons from a year earlier.
Prices rose “on the U.S. cocoa grind data,” Jack Scoville, a vice president at Price Futures Group in Chicago, said in a report. “The overall amount of arrivals and exports remain below a year ago,” in West African countries, he said.
Cocoa futures for March delivery rose $7, or 0.3 percent, to $2,470 a metric ton on ICE Futures U.S. in New York.
Earlier, the price fell as much as 5 percent to $2,340, the lowest for a most-active contract since Dec. 12, as a rally by the dollar eroded the appeal of U.S. commodities.
In 2008, cocoa jumped 31 percent, the largest gain among 19 raw materials in the Reuters/Jefferies CRB Index, amid a supply deficit and a reduced crop in Ivory Coast. Ghana is the second- largest bean producer.