New throughout, updates prices, market activity and comments to close
NEW YORK/LONDON, Dec 9 (Reuters) – Arabica coffee, sugar and cocoa futures on ICE closed down on Thursday, weighed down by broad-based weakness in crude oil and other commodity markets. O/R
COFFEE
* March arabica coffee KCc2 closed 1.6% down to $2.4020 per lb, extending the market’s pullback from a 10-year high of $2.5235 set on Tuesday.
* Dealers said, however, the overall uptrend remained intact with the market supported by a drop in exports from Colombia and concerns that adverse weather earlier this year could dent production in Brazil next year.
* Financial information provider S&P Global Platts expects a gradual and slow improvement in the shipping sector, as companies add more container capacity.
* Brazilian coffee exporters association Cecafe will release November data on Friday.
* March robusta coffee LRCc2 rose 0.4% to $2,306 a tonne, hovering just below a 10-year high of $2,334 set on Tuesday.
* Light rain in Vietnam’s Central Highlands continued to disrupt robusta coffee picking and drying process while few farmers started to offer new beans from 2021/22 crop season.
SUGAR
* March raw sugar SBc1 fell 0.6% to 19.69 cents per lb.
* Dealers said broader macro-influences continued to play a major role in sugar market trends with recent concerns about the new COVID-19 variant prompting funds to scale-back long positions in the sweetener.
* They noted the market derived some support from the likely extension of La Nina weather conditions through the upcoming northern hemisphere winter.
* La Nina can lead to drier-than-normal weather in southern Brazil, a region which suffered from drought this year, potentially impacting the sugarcane crop next year.
* March white sugar LSUc1 fell 0.5% to $510.70 a tonne.
COCOA
* March New York cocoa CCc2 closed down 0.7% at $2,451 a tonne.
* March London cocoa LCCc2 fell 0.3% to 1,677 pounds a tonne.
* Climate42 said in a report on Ghana’s cocoa that prospects are positive.
* “The canopy is dense and healthy. In addition, the climate has been more favourable than average this November. The result is that trees have invested their resources into the fruits. The large setting in October and November should partially rebalance the disappointing potential for this first half of the main crop,” it said.
(Reporting by Nigel Hunt; editing by Jason Neely, David Evans and David Gregorio)
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