LONDON: London cocoa futures on ICE hit their highest in 1-1/2 months on Friday after data showed a strong recovery in demand in Asia and north America, while arabica coffee hit a two week peak.
September London cocoa rose 0.6% to 1,659 pounds per tonne at 1109 GMT, having hit its highest since late May at 1,665 pounds.
North American cocoa grindings, a measure of demand, rose to 123,719 tonnes in the second quarter, up 11.68% from a year earlier, data showed.
Asia’s second quarter cocoa grind rose 9% year-on-year to 220,865 tonnes, data showed.
September New York cocoa rose 0.2% to $2,419 a tonne, not far off the near one month high hit on Monday.
September arabica coffee rose 1.8% to $1.5980 per lb.
September robusta coffee rose 0.5% to $1,765 a tonne, having hit its highest in more than 2-1/2 years on Monday.
October raw sugar rose 0.1% to 17.35 cents per lb, having hit a two-week low of 16.73 cents on Tuesday.
August white sugar rose 1% to $440.50 a tonne.
Arabica is gaining support from a stronger Brazilian real versus the dollar and from shipping bottlenecks that have delayed flows from top producer Brazil.
Green coffee stocks stored at US ports fell 35,678 60-kg bags to 5.78 million by end June, near the lowest since 2015.
Brazilian coffee farmers sold 48% of this year’s crop by July 13, a quicker selling pace than seen at this time last year as coffee prices hover around the highest in four years.
Deliveries of cocoa beans to Ivory Coast’s two main ports have slowed in recent weeks as an energy crisis hit industries in the world’s top cocoa growing nation, exporters and cocoa cooperative officials said.
Overall though, cocoa supplies remain ample following bumper harvests in top growers Ivory Coast and Ghana this season.
Dealers said sugar’s price bias is currently neutral, caught between uncertain over the recovery in demand and concerns over the crop in top producer Brazil, with cold temperatures are set to return next week.
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