ADMIS News
COCOA
Cocoa prices fell more than 340 points (down 12%) over the space of 4 weeks as a wet weather pattern over West African growing areas was seen by many to improve the prospects for the region’s upcoming production. There have been officials in several West African producing nations who are forecasting a significant decline from last season, however, and their comments and actions may have turned the cocoa market back towards the upside.
COFFEE
Coffee prices continue to have trouble sustaining momentum as they have fallen back to the lower end of their October/November consolidation zone. They continue to hold their ground above the 50-day moving average, however, and a successful retest of that area this week could lead to a turn back to the upside.
COTTON
December cotton continues to consolidate within the wide range from early last week when it last made new contract highs. The trade seems reluctant to take a much of a stand with the USDA report looming on Tuesday.
SUGAR
With key outside markets remaining well supported, sugar can extend its November rally in front of the Unica supply report release this week. Crude oil and RBOB gasoline prices posted moderate gains that provided the sugar market with early carryover support as that can help to improve ethanol demand in both Brazil and India.
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