Cocoa climbed to the highest level in almost three weeks in New York as bean processing in Europe, the biggest consuming region, gained more than traders had forecast in the fourth quarter. Coffee and sugar declined.
“Strong” cocoa deliveries in top growers Ghana and Ivory Coast are reducing global shortage forecasts for the season, according to Barry Callebaut AG, the world’s biggest bean processor and top maker of bulk chocolate.
Cocoa rebounded in London on signs an extended dry period in West Africa, the world’s main growing region, could reduce yields for the next crop. White sugar rose and robusta coffee was little changed.
European cocoa-bean processing may have been bigger than reported in the third quarter because Fuchs & Hoffmann GmbH, a grinder in Germany that provided no figures for the period, was processing at full capacity.
Cocoa fell for a second day in New York as bean processing in Europe was weaker than analysts anticipated and rain in Ivory Coast eased concern dry weather would hurt the development of the next crop. Coffee retreated.