LONDON: Cocoa futures on ICE fell to two-month lows on Monday with weak demand seen leading to a global surplus in the upcoming 2025/26 season, while coffee and sugar were higher.
Cocoa
London cocoa lost 1.8% to 4,967 pounds a metric ton by 1119 GMT after setting a two-month low of 4,964 pounds.
Dealers said the prospect of a substantial global surplus in the upcoming 2025/26 season (October/September) driven partly by weak demand was keeping the market on the defensive.
New York cocoa CCc2 was down 1.5% at $7,119 a ton after hitting a two-month low of $7,108.
Ecuador is on course to produce more than 650,000 metric tons of cocoa in the upcoming 2025/26 season and could surpass Ghana as the world’s second largest grower of the chocolate ingredient, the chairman of the country’s cocoa exporters association said.
Arabica coffee prices extend fall while raw sugar rises
Coffee
Arabica coffee KCc2 edged up 0.1% to $3.4650 per lb with the market stabilising after falling 12% last week.
Dealers said the market had been pressured by funds’ long liquidation against the backdrop of rains in Brazil which may aid the outlook for next year’s crop.
Robusta coffee gained 3.1% to $4,262 a ton with the market rebounding after falling by 10% last week.
Sugar
Raw sugar SBc1 rose 0.5% to 15.54 cents per lb, edging away from a 2-1/2 month low of 15.16 cents set last week.
Dealers said favourable cane crop prospects for Asian producers including India and Thailand have put the market on the defensive.
White sugar was up 0.35% at $457.30 a ton.
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