Cocoa rose to the highest in more than a week on concern that output in Ivory Coast, the world’s largest grower, may be disrupted as fighting persists. Cotton gained.
Sporadic gunfire and reports of looting in the Ivorian commercial capital, Abidjan, damped hopes of a quick recovery after four months of post-election conflict. Cocoa production may continue to be disrupted because farmers fled plantations after the violence, according toExclusive Analysis, a London- based specialist intelligence company.
“The political problems are not over as yet,” said Drew Geraghty, a commodity broker at ICAP Futures LLC in Jersey City, New Jersey.
Cocoa for July delivery added $9, or 0.3 percent, to $3,065 a metric ton at 10:26 a.m. on ICE Futures U.S. in New York, after touching $3,095, the highest since April 4.
In London, cocoa futures for July delivery climbed 2 pounds, or 0.1 percent, to 1,939 pounds ($3,153) a ton on NYSE Liffe.
The Republican Forces that supported President-elect Alassane Ouattara are patrolling the streets of Abidjan following reports of looting by thieves, militias loyal to previous leader Laurent Gbagbo and even their own soldiers.
“We now face a reality of continued violence in a war-torn country,” Connor Noonan, an analyst at Castlestone Management Ltd. in London, said today in an e-mail. “It will be some time before everything gets back to normal.”
Cotton futures for July delivery gained 2.93 cents, or 1.6 percent, to $1.885 a pound in New York.
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