ADMIS News
COCOA
While 2020’s second quarter was a low bar to clear, a double-digit year-over-year increase in European grindings shows that global demand has improved. The cocoa market is starting to receive evidence that global demand was not as subdued as first through during the second quarter. Near-term demand concerns remain a front-and-center issue, and that has put the brakes on cocoa’s updraft.
COFFEE
Coffee prices continue to have trouble sustaining upside momentum. Near-term demand remains an issue for the market, but South American supply issues has been a source of underlying strength.
COTTON
December continues to look strong as it makes a steady climb back towards last week’s high and the contract high from February 25. The market experienced a new contract high close. The market is drawing strength from higher crude oil prices, which makes man-made fibers more expensive relative to natural fibers like cotton.
SUGAR
Sugar was able to break a 5-session losing streak as the market was able to overcome bearish near-term supply news. If energy prices remain well supported, sugar may be able to extend a recovery move.
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