NEW YORK/LONDON: Cocoa futures on ICE fell for the fifth straight session on Wednesday, nearing April's multi-year lows as traders eyed strong bean arrivals in top grower Ivory Coast and lackluster demand.
COCOA
July New York cocoa settled down $25, or 1.4 percent, at $1,780 per tonne, just above a 9-1/2-year low of $1,756 reached on April 20. This was its fifth straight session lower.
Total New York cocoa futures open interest rose to a record 307,188 contracts on Tuesday, ICE data showed, just a week after speculators took their biggest net short position on record.
July London cocoa settled down 24 pounds, or 1.7 percent, at 1,390 pounds per tonne, drifting back down toward a five-year low of 1,372 pounds set on April 20.
Dealers said the strong pace of port arrivals in Ivory Coast was helping to keep the market on the defensive.
Traders noted that while demand in Asia was expected to keep growing, it needed to improve in the European and North American markets to provide price support.
SUGAR
July raw sugar settled down 0.11 cent, or 0.7 percent, at 15.77 cents per lb.
raders pointed to favorable crop weather in top grower Brazil heightening the prospects of a large crop this year.
Dealers said they were also keeping a close watch on the sugar trade talks between the United States and Mexico, which are "at an impasse," according to US Commerce Secretary Wilbur Ross.
"We retain interest in how the relationship and situation between the two countries develops in the sugar industry, as any Mexican exports no longer destined for the US will have to be placed somewhere else in the world market," said INTL FCStone analyst Darren Stetzel in a market note.
August white sugar settled down $2.49, or 0.5 percent, at $450.20 per tonne.
COFFEE
Robusta coffee futures rallied for the third straight session, with July closing up $39, or 2 percent, at $2,034 per tonne.
Dealers said the market was correcting higher after last month's sharp drop to a 7-1/2-month low driven by fund long liquidation.
July arabica coffee settled up 1.2 cent, or 0.9 percent, at $1.3745 per lb.
Brazil exported 1.93 million 60-kg bags of coffee in April, down from 2.23 million bags in the same month last year, according to trade ministry data.
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