NY coffee tumbles, cocoa also ends weak, sugar up

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April 25 (Reuters) – Arabica turned around and closed down 3.7 percent on Wednesday, moving in a wide 10-cent range after origin selling took the market off its highs, and triggered flurries of automatic sell orders and long liquidation.

U.S. cocoa also closed lower, following the weaker sterling and commodity complex down, while raw sugar managed to hold firm.

RAW SUGAR

* May raw sugar futures on ICE inched up 0.04 cent to settle at 22.04 cents per lb.

* Most-active July ended 0.19 cent higher at 21.80 cents per lb.

* Market up on speculative buying, main feature is spread trade – brokers.

* Players moving positions out of the spot May contract  with only three sessions left prior to its expiration on Monday.

* “We’re rolling,” said Country Hedging Inc. analyst Sterling Smith.

* Open interest in the May contract stood at 51,035 lots or 2.5 million tonnes of raw sugar as of April 24.

* Now-benchmark July raw sugar contract seems to be finding support near or around the 22-cents area, dealers said.

* July arabicas sank to finish down 6.75 cents, or 3.7 percent, at $1.7675 per lb.

* Volume in the July contract soared as the market dropped, reaching 18,771 lots – ICE data.

* Arabica futures were up earlier in the session, but changed course as selling from Colombia and Brazil pressured prices lower – traders.

* The market was the day’s weakest performer on the Thomson Reuters-Jefferies CRB index.

* The market turned sharply lower, with the most-active July contract moving in a wide 10-cent range.

* Its losses were extended after triggering sell-stops around the unchanged level and on spillover pressure from the commodity complex, which also turned lower – traders.

* The market saw heavy long liquidation – traders.

* “We’re getting some longs from yesterday stopped out and then continual pressure from the funds.” – floor dealer.

COCOA

* July cocoa fell $33, or 1.4 percent, to close at $2,251 per tonne, an inside day.

* Market reversed lower after being unable to breach Tuesday’s four-week high at $2,312 per tonne, basis July.

* July futures fell below the 40-day moving average at $2,276 and the 100-day moving average at $2,279, after the two levels recently crossed paths.

* The market fell along with the sterling which briefly dropped against the U.S. dollar, but cocoa futures were unable to regain any upward momentum as the pound returned slightly higher.

* ICE certified stocks dropped by 18,411 bags to 5,268,519 bags on April 24. There were 265 lots certified for the May contract, more than double from the previous day’s 111 lots, with 412 lots pending grading. – ICE data.

2:01 PM      SETTLE    NET     PCT      LOW    HIGH  CURRENT
                       CHNG    CHNG                       VOL
 Sugar MAY     22.04   0.04    0.2%    22.00   22.42   19,476
 Sugar JUL      21.8   0.19    0.9%    21.67   22.07   55,439
 Cocoa MAY      2302    -23   -1.0%    2,290   2,354        4
 Cocoa JUL      2251    -33   -1.4%    2,231   2,305   10,605
  MAY   175.95  -6.55   -3.6%   174.90  184.25       86
  JUL   176.75  -6.75   -3.7%   175.25  185.70   18,771

 TOTAL MARKET              VOLUME          
                CURRENT   30D AVG  250D AVG
 ICE SUGAR      108,566   122,918    92,271
 ICE COCOA       15,277    27,787    20,105
       28,378    29,681    20,706

 (Reporting by Marcy Nicholson and Rene Pastor; Editing by Jan Paschal)

Source: http://www.reuters.com/article/2012/04/25/markets-softs-close-idUSL2E8FPCHT20120425

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