06 June 02:40 AM
Futures news, cocoa. Last week the price of cocoa future for June continued its slow decline from the point of 2100. The market is waiting for ICCO quarterly report.
Major fundamental factors for the nearest future:
- good betweencrop yield in Western Africa,
- ingathering delayed for 3-4 weeks,
- cocoa processing during the 1st quarter of 2012 was lower than during the equal period last year,
- cocoa stocks at ICE warehouses remain above the 5-year average,
- options expiration on June 01, 2012.
According to the Analytics Team of Commodity Trading Department of Masterforex-V Academy, the price of future may slightly drop to 2000, and further decline is unlikely to happen. After this, within-range movement or price rise may happen by the end of July. Seasonal trend also proves such price development.
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European stock indices have started this trading week positively and are currently trading in the green zone. Some indices keep making new 5-year highs.