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Barchart
Barchart
Rich Asplund

MYSTERIOUS: Cocoa prices retreat on dollar strength - You Need To See This

March ICE NY cocoa (CCH25) Friday closed down -357 (-3.27%), and March ICE London cocoa #7 (CAH25) closed down -224 (-2.54%).

Cocoa prices Friday fell sharply lower as a rally in the dollar index (DXY00) to a 2-year high sparked long liquidation pressure in cocoa futures.  Losses in London cocoa were limited Friday after the British pound (^GBPUSD) sank to a 14-month low, boosting cocoa that is priced in terms of sterling.

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