ADMIS News
COCOA
Trade expectations for production increases this season from Ivory Coast and Ghana (the world’s top two producers who account for 63% of global output) continue to be a source of pressure on the market. A rally in the euro provided support yesterday on ideas it would make it easier for European grinders to acquire near-term supplies.
COFFEE
Sluggish global risk sentiment may dampen the market’s near-term demand outlook, but coffee continues to have bullish supply factors that can sustain a recovery move. September coffee bounced back from early pressure and a retest of Tuesday’s seven-week low on Thursday and went on close higher for the session. Colombia’s coffee exports were well below last year’s numbers for a second month in a row in June, and that has underpinned prices late this week.
COTTON
December cotton continues to chop around contract highs. The recent rains in Texas and the outlook for above normal precipitation in the 6-10-day outlook have taken away what was probably the main reason to build a weather premium this summer.
SUGAR
Sugar has been unable to find its footing since Tuesday’s outside-day down session and is on a three-day losing streak, and the market is vulnerable to additional long liquidation. October sugar found mild early support yesterday but fell back on the defensive to a new two-week low and posted a moderate loss on the session.
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