Cocoa price unchanged

U.S. cocoa futures settled unchanged Friday amid a firmer U.S. dollar, a lack of direction with London on holiday and most U.S. traders also absent.

Most-active March cocoa ended unchanged at $2,626 a metric ton.

Futures volume was extremely thin at an estimated 681 lots traded.

Cocoa futures were held to narrow ranges and technically impotent inside trading days on the charts.

As was the case in most of the soft commodity markets, prices held near steady levels in what was described as a typical holiday trading session. Prices were lower but traders managed to cover a few shorts by the close.

Most analysts expect cocoa futures to consolidate near recent prices, and although values have come off their highs they are maintaining relatively strong levels. The continued slow pace of beans delivered to Ivory Coast ports bound for export markets is expected to support prices.

Drier, hotter weather continues to cover the main growing areas of Ghana and Ivory Coast, which may increase stress to the developing mid crop, DTN Meteorlogix said.

Generally wet weather conditions are seen in Indonesia and Malaysia, while mostly favorable conditions exist for the main crop harvest in Bahia, Brazil.

ICE open interest on Wednesday increased 185 to total 115,570 lots.

ICE futures volume was preliminarily estimated at 681 lots, with 7 call options traded.
Source: INO