LONDON: Raw sugar futures fell sharply on Friday, weighed on largely by technically-driven selling, while London cocoa rose to a two-month high as a weak pound gave added impetus to the recent run-up in prices.
SUGAR
March raw sugar slid 0.44 cents, or 3.1 percent, to 13.95 cents per lb by 1408 GMT.
Dealers said, however, the market remained well within its recent range.
"We're only back to the levels we were at last week. Nothing has changed on fundamentals. It is just specs playing the range," one dealer said, adding sell-stops were triggered when prices fell below the 10-day moving average of 14.11 cents.
December white sugar was off $6.60, or 1.75 percent at $371 a tonne, after earlier rising to $380, the highest level for the front month since Sept. 18.
The market was underpinned by concerns about tight nearby supplies with December climbing to a premium to March this week.
COCOA
December London cocoa rose 12 pounds, or 0.8 percent, to 1,591 pounds a tonne after peaking at 1,592 pounds, the highest since Aug. 8.
Dealers said the recent run-up had been driven partly by the view that any global surplus in the 2017/18 season may be smaller than previously anticipated.
Sterling's weakness also contributed to the rise in prices in London.
The British currency slipped to its lowest against the dollar in a month on Friday as it headed for its worst week in a year, amid mounting concerns over Theresa May's future as Britain's prime minister.
December New York cocoa fell $7, or 0.3 percent, to $2,077 a tonne.
COFFEE
December arabica coffee was up 1.3 cents, or 1.0 percent, at $1.2850 per lb.
Dealers said the market was beginning to rebound after dipping to a low of $1.2430 on Thursday, the weakest price for the front month since June 30.
The recent slide has been driven by much-needed rains in Brazil although there are still concerns that conditions remain too dry in some areas.
November robusta coffee rose $7, or 0.35 percent, to $2,007 a tonne with the market underpinned by anticipated supply tightness ahead of the Vietnamese harvest.
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