Arabica, raw sugar lose over 5 percent on the week; cocoa steady  

09 Nov, 2018

COFFEE

* March arabica coffee settled down 2.7 cents, or 2.25 percent, at $1.1750 per lb. On the week, the contract lost 5.1 percent.

* Prices were pressured by the roll out of December contracts into March, dealers said.

* "We are finding support right now around the $1.1750 area," said Boyd Cruel, senior market strategist at High Ridge Futures. That level, for the March contract, represents a 38.2 percent Fibonacci retracement from the September low and October high.

* Prices were pressured by a stronger US dollar as the US Federal Reserve kept interest rates steady and reaffirmed its monetary tightening stance.

* January robusta coffee settled up $1, or 0.1 percent, at $1,685 per tonne.

* Dealers noted the physical market could see some short-term tightness before large shipments from Vietnam - which is in the midst of its main harvest - begin.

* The US Department of Agriculture attache in Brazil revised the 2018-19 coffee production forecast to 63.4 million bags * The International Coffee Organization reduced its 2017-18 surplus to 1.59 million bags, from 2.58 million.

SUGAR

* March raw sugar settled down 0.11 cent, or 0.9 percent, at 12.73 cents per lb after setting a new four-week low of 12.65 cents.

* On the week, the contract lost 5.3 percent, its worst weekly performance since January.

* "People are starting to say that the sugar-ethanol mix in Brazil is going to be a little higher next year toward sugar," said one US trader.

* Technicals weakened in the prior session when prices closed below 13 cents, dealers said.

* December white sugar settled up $1.60, or 0.5 percent, at $344.10 a tonne. The contract lost 4 percent this week, its third straight negative weekly finish.

COCOA

* March New York cocoa settled down $5, or 0.2 percent, at $2,287 per tonne.

* The contract settled the week down 0.6 percent, its first negative finish in five.

* The market was consolidating following a 4.5 percent plunge on Thursday. On Wednesday, the market hit a 3-1/2-month high but failed to find follow-through buying, dealers said.

* March London cocoa settled down 1 pound, or 0.06 percent, at 1,670 pounds per tonne.

Copyright Reuters, 2018

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