- October raw sugar rose by 0.17 cents, or 0.9%, to 19.96 cents per lb
- December New York cocoa fell by $20, or 0.8%, to $2,621 a tonne, extending its retreat from an eight-month peak of $2,681 set on Wednesday
LONDON: Arabica coffee futures on ICE were lower on Friday, weakened by sentiment that frost-related crop losses in Brazil may not be as severe as initially feared, while cocoa prices also fell.
December arabica coffee was down 1.05 cents, or 0.6%, at $1.8025 per lb, as of 1100 GMT.
Dealers said the market continued its pullback from a near seven-year peak set on July 26 that followed concerns frosts in Brazil had done extensive damage to crops.
"It seems that the worst fears about the frost-related losses to the coffee crop in Brazil have not been confirmed," Commerzbank said in a market update, noting a forecast by TRS that probable losses would be about 4%.
November robusta coffee rose by $20, or 1.1%, to $1,883 a tonne.
December New York cocoa fell by $20, or 0.8%, to $2,621 a tonne, extending its retreat from an eight-month peak of $2,681 set on Wednesday.
Dealers said the market had derived support recently from signs that demand is recovering from a COVID-19 related slump but supplies remain ample following larger crops in both Ivory Coast and Ghana in the current 2020/21 season.
"Cocoa prices remain in the doldrums (though have seen a slight pickup in recent weeks), as the pickup in demand will take longer to take shape given its reliance on the travel sector, while the supply outlook is much more positive than for other softs," Fitch Solutions said in a note on Friday.
December London cocoa was down 1 pounds, or 0.1%, at 1,800 pounds a tonne.
October raw sugar rose by 0.17 cents, or 0.9%, to 19.96 cents per lb.
Dealers said the market was supported by the prospect of lower production in Centre-South Brazil this season, and that could shift the global market into deficit.
October white sugar rose by $0.60, or 0.1%, to $495.10 a tonne.