LONDON: Arabica coffee futures on ICE were higher on Thursday, extending the prior session’s advance, while cocoa prices were hovering just above two-month lows set earlier this week.
Coffee
Arabica coffee rose 1% to $3.5175 per lb by 1105 GMT, after climbing 4% on Wednesday.
The market is keenly awaiting a planned meeting next week between U.S. President Donald Trump and Brazil President Luiz Inacio Lula da Silva to see if a 50% U.S. tariff on Brazil coffee could be revised.
The Brazilian president told reporters on Wednesday that he hoped he and Trump would mend the relationship between the two countries if they meet in a few days, as they agreed to on Tuesday, during a conversation at the United Nations General Assembly in New York.
Robusta coffee lost 0.4% to $4,167 a metric ton.
Trading activity remained subdued in Vietnam ahead of the new crop season coupled with limited supply of beans, while the weather turned favourable for the second-stage development of coffee trees in Indonesia, traders said on Thursday.
Cocoa
London cocoa fell 0.2% to 4,920 pounds a ton, with the market consolidating just above a two-month low of 4,874 pounds set on Tuesday.
Dealers said the market’s focus was on the start of the 2025/26 season on October 1, with Ivory Coast expected to announce the price that will be paid to farmers in the next few days.
Third quarter grinding data for Europe, North America and Asia, due to be released in early October, is also likely to be closely watched with weak demand a major concern.
New York cocoa was up 0.04% at $7,068 a ton.
Sugar
Raw sugar SBc1 fell 0.5% to 15.56 cents per lb.
White sugar was down 0.35% at $457.10 a ton.
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