FX.co ★ Cocoa Futures Hover Around $6,000

Cocoa futures are currently trading at approximately $6,000 per tonne, maintaining their proximity to the one-week peak of $6,077 reached on January 5. This stability is largely attributed to anticipated technical buying in response to cocoa futures contracts being included in the Bloomberg Commodity Index (BCOM) starting January 8. Further supporting the price, recent figures indicate that Ivory Coast farmers have shipped 1.071 million tonnes of cocoa from October 1 to January 4 of the current marketing year, marking a 3.4% decline compared to the previous year, possibly due to atypical December rainfall. Despite this, conditions in major cocoa-producing regions in West Africa have remained favorable, with reports of a mild Harmattan, the region’s characteristic dry desert wind. According to Tropical General Investments Group, a consultancy firm, the weather conditions are expected to enhance the cocoa harvest in the next two months in Ivory Coast and Ghana, the two leading producers of cocoa globally.