Cocoa drops further in New York

New York cocoa futures experienced a significant decline, dropping by 8.2% to $10,124 a tonne, following a record high last week. This drop is attributed to funds adjusting their positions ahead of year-end. Despite this, the market remains supported by expectations of a slowdown in port arrivals in Ivory Coast, the world's top producer, which could lead to a fourth consecutive global deficit in the 2024/25 season. London's cocoa market also saw a decline of 6.1% as it resumed trading after the Christmas holiday.

NEW YORK (Reuters) - New York cocoa futures fell on Friday, pulling further away from last week’s record high. London-based cocoa, robusta coffee and white sugar markets resumed trading after the Christmas holiday. New York-based cocoa, arabica coffee and raw sugar markets were open on Thursday. COCOA * New York cocoa futures on ICE fell 8.2% to $10,124 a tonne, extending the market’s slide from last week’s record high of $12,931. Dealers said there could be room for prices to fall further in the near term as funds that remain long on cocoa adjust their books heading into the end of the year. “We believe there is an appetite for lower prices in the near term,” brokerage Sucden Financial said in a note on technicals. * The market, however, continues to be supported by an expected slowdown in port arrivals next month in top producer Ivory Coast, which could ...