Stock exchange news, cocoa. Last week price of cocoa futures in June came to the point of 2300 and bounced back from it during last two days.
Tensed situation at the north of Cote d’Ivoire after the recent conflict between rebels and UNO peacemakers may have been the reason for growth. However, the conflict has not grown further, and the situation is gradually normalizing.
Next fundamental data that may have strong impact on the market will be provided by reports on cocoa processing in Europe and North America. They are to be published in mid-July.
Major fundamental factors for the nearest future include:
- good betweencrop yield in West Africa;
- reconsideration of ICCO forecast for 2012 towards deficit reduction;
- cocoa processing during the first quarter of 2012 has been lower that during the equal period last year, and deceleration of world economy may result in further decline;
- cocoa stocks at ICE stock exchange remain at the 5-year high;
- armed conflicts at the north of Cote d’Ivoire.
According to Commodity Trading Department of , the price may keep rising or move within the range till mid-July. Such price movement is also proved by seasonal trend.
