Coffee retreated from its highest price in almost 13 years as traders sold futures to lock in gains amid speculation that a record crop in Brazil, the world’s largest producer, will ease tight supplies.
The Standard & Poor’s GSCI Spot Index of 24 raw materials rose a second day, by 0.8 percent to 703.06, at 4:10 p.m. in New York as Greece moved closer to completing its debt restructuring. Cocoa, gasoil and zinc led the gain.
Cocoa futures fell to the lowest in seven months, entering a bear market, on signs of abundant supplies from Ivory Coast, the world’s top producer. Coffee, orange juice and sugar also dropped, while cotton rose.
Cocoa futures dropped to a nine- month low on mounting concern that a recession is weakening demand in Europe, the world’s biggest consumer. Orange juice and sugar also fell, while coffee and cotton gained.