Arabica coffee slips as Brazil currency extends fall
- May London cocoa rose by 8 pounds, or 0.5%, to 1,757 pounds a tonne, underpinned by sterling weakness against the dollar.
- May raw sugar fell by 0.21 cent, or 1.25%, to 16.63 cents per lb, extending its retreat from the almost four-year peak of 17.52 cents set on Tuesday.
LONDON: Arabica coffee futures on ICE were lower on Friday, weighed partly by the weakness of Brazil's real currency while raw sugar prices also fell in the run-up to the expiry of the March contract.
COFFEE
May arabica coffee fell by 1.85 cents, or 1.3%, to $1.3820 per lb at 1531 GMT after peaking at $1.4045 on Thursday, its highest since December 2019.
Dealers said there had been a pick-up in producer selling following the run-up in prices with the weakness of Brazil's currency adding to the attractiveness of prices in the world's top grower and exporter.
Widespread rains in Brazil's arabica coffee belt also provided a bearish influence although earlier dry weather will have dented the upcoming crop.
May robusta coffee was up $5, or 0.3%, at $1,481 a tonne
SUGAR
May raw sugar fell by 0.21 cent, or 1.25%, to 16.63 cents per lb, extending its retreat from the almost four-year peak of 17.52 cents set on Tuesday.
The March contract is due to expire later on Friday with the open interest, as of Feb. 25, standing at 18,394 lots or 919,700 tonnes of sugar.
Dealers noted the delivery is likely to be substantial but slightly below the 941,000 tonnes seen against the March contract last year.
May white sugar fell by $9.00, or 1.9%, to $459.00 a tonne.
COCOA
May London cocoa rose by 8 pounds, or 0.5%, to 1,757 pounds a tonne, underpinned by sterling weakness against the dollar.
May New York cocoa was down $9, or 0.35%, at $2,599 a tonne.
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