LONDON, Nov 26 (Reuters) – Arabica coffee futures on ICE were lower on Friday, slipping from a 10-year high set earlier this week, as concerns about a new coronavirus variant diminished risk appetite in financial markets. MKTS/GLOB
Sugar and cocoa prices also fell.
COFFEE
* March arabica coffee KCc2 fell 1.75% to $2.4110 per lb by 1103 GMT. The market had climbed to a 10-year high of $2.4820 on Wednesday.
* Dealers said the market continued to derive support from declining exchange stocks as shipments from South America are delayed both by a shortage of container shipping capacity and a reluctance of producers to sell.
* January robusta coffee LRCc1 rose 0.2% to $2,296 a tonne.
* Delays to the harvest in top robusta producer Vietnam remained a supportive factor.
COCOA
* March London cocoa LCCc2 fell 2% to 1,684 pounds a tonne.
* Dealers said the market remained underpinned, however, by a pick-up in demand and sentiment, and that it is likely to recover further in 2022.
* “We expect the continued demand recovery to send prices higher,” Fitch Solutions said in a note.
* March New York cocoa CCc2 was down 2.1% at $2,460 a tonne.
* The contract may test a support at $2,470 per tonne, a break below which could cause a fall into $2,410-$2,445 range, according to Reuters market analyst Wang Tao.
SUGAR
* March raw sugar SBc1 lost 1.7% to 19.60 cents per lb, extending the market’s retreat from a 4-1/2 year high of 20.69 cents set last week.
* March white sugar LSUc1 fell 1.1% to $505.40 a tonne.
(Reporting by Nigel Hunt; Editing by Shinjini Ganguli)
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