LONDON, Sept 4 (Reuters): London cocoa futures slid to a six-and-a-half-month trough below 5,000 pounds a tonne on Wednesday amid forecasts for above average rainfall in West Africa, while robusta coffee rallied.
December London cocoa fell 3.4 per cent to 4,998 pounds per tonne at 1206 GMT, having earlier hit its lowest since mid-February at 4,975.
Following mostly dry conditions for much of the past month, above average rainfall is expected over the next two weeks in key cocoa producing region West Africa, according to Refinitiv weather models.
Dealers noted prices had slipped below the psychological 5,000-tonne mark, adding the market lacks liquidity and buying interest from funds, with improved prospects for next season's crop giving bulls pause for thought.
December New York cocoa fell 4.2 per cent to 6,968 a tonne, having hit its lowest since mid-August at 6,963.
COFFEE
November robusta coffee rose 2.1 per cent to $4,808 a tonne.
Prices are still some way off last week's peak of $5,180, which was the highest level in at least 16 years.
Robusta prices remain underpinned overall, however, by longstanding concerns that extreme heat earlier this year in top producer Vietnam could reduce the upcoming harvest.
December arabica coffee rose 0.4 per cent to $2.4380 per lb.
Cocoa slides below 5,000 pounds a tonne
FE Team | Published: September 04, 2024 22:10:18
Cocoa slides below 5,000 pounds a tonne
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