Arabica coffee prices climb, cocoa edges higher

LONDON: Arabica coffee futures on ICE pulled away from the prior session's three-month low on Wednesday, boosted partly by concerns that adverse weather could curb production in Brazil next year.

COFFEE

* December arabica coffee was up 1.30 cents, or 1.4%, at 96.55 cents per lb at 1119 GMT.

* The benchmark second position dipped to a three-month low of 93.40 cents on Tuesday.

* Prices were underpinned by a diminishing outlook for next year's crop in Brazil following adverse weather.

* "The unsettled weather and an extremely cold July have apparently damaged many trees, though some are reported to have blossomed prematurely in recent weeks. The blossoms could be shed in the high temperatures that are forecast for September, which would reduce the potential yields," Commerzbank said in a market note.

* November robusta coffee was up $9, or 0.7%, at $1,333 a tonne.

COCOA

* December New York cocoa was up $3, or 0.1%, at $2,177 a tonne.

* The benchmark second position dipped to a five-month low of $2,165 a tonne on Tuesday.

* Dealers said the market was consolidating after a prolonged slide driven by favourable crop weather in West Africa which has improved the outlook for 2019/20 main crops.

* December London cocoa rose 2 pounds, or 0.1%, to 1,700 pounds a tonne.

SUGAR

* October raw sugar was up 0.04 cents, or 0.35%, at 11.48 cents per lb.

* Dealers said prices were drifting in a narrow band as the market waited for a decision from India's government on the terms under which it will extend its export subsidy system until September 2020.

* October white sugar rose $0.40, or 0.1%, to $309.50 a tonne.