LONDON: London cocoa futures on ICE slumped on Tuesday, weighed down by data that signalled a bigger-than-expected crop in top grower Ivory Coast and fuelled worries about a global supply glut.
The New York softs markets were shut on Tuesday due to a US public holiday.
COCOA
September London cocoa fell 25 pounds, or 1.63 percent, to 1,513 pounds a tonne by 1148 GMT, after falling to a session low of 1,510 pounds.
The decline erased much of the gains made in the last few sessions as oversold technical conditions prompted shorts to cover their positions.
Dealers pegged the weakness on bearish data from the Ivory Coast's cocoa marketing board (CCC) showing port arrivals by June 30 are up 34 percent year on year.
London cocoa prices have slumped around 14 percent this year, underpinned by mounting worries over a large global surplus. However, the CCC figures signalled Ivorian output has risen even more sharply than previously estimated.
"I think the data really was the catalyst to the reaction today," said one dealer. "The market has already taken and absorbed most of the bear news until now, it's been priced in for quite some time. But the headlines obviously leaned on the price today."
However, Tuesday's volumes were low and activity was subdued due to the US market's closure.
"How New York perceives this tomorrow is anyone's guess," the dealer said.
Market participants were awaiting the July London expiry next week, as well as upcoming European cocoa grind figures, which typically indicate demand.
COFFEE
September robusta coffee was up $5, or 0.23 percent, at $2,151 a tonne.
Honduran coffee exports jumped 71.3 percent in June compared with the same month last season, lifted by an increase in output, the national coffee institute (IHCAFE) said late on Monday.
SUGAR
August white sugar rose a marginal $0.50, or 0.12 percent, to $409.60 a tonne in thin traded volumes.
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