ADMIS News
COCOA
While the longer-term demand outlook remains positive, near-term demand concerns continue to weigh on cocoa prices. With the market relatively well supplied going into the final month of the 2020/21 season, cocoa may become top heavy. The latest weekly Ivory Coast port arrivals total came in well below the comparable period last year, which provided support to the cocoa market as it may indicate a dropoff in West African late mid-crop output.
COFFEE
December coffee finishing Monday’s trading session with a seventh positive daily result in a row. Last month’s Brazilian frost damage remains a major source of strength as that will have a significant impact on global production over the next 2 seasons. Hurricane Ida made landfall close to coffee warehouses and roasting facilities in the New Orleans area which could have a ripple effect over the US and North American supply situation.
COTTON
Uptrend channel support for December cotton is at 92.96 today and a move under this level could spark some technical selling. The market eased yesterday as Hurricane Ida did not appear to threaten the crop to any great degree. Traders do not expect to see any damage to the mid-southern and southeastern crops.
SUGAR
Sugar prices continue to be underpinned by bullish supply factors and carryover support from key outside markets. Although the market is approaching near-term overbought levels again, sugar should be able to push to new highs.
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